L&T arm to sell 21.6% stake for Rs 550 cr

L&T-Infrastructure Development Projects Limited (L&T-IDPL) will divest 21.6 per cent stake to Silver Peak Investments (Mauritius) and an India Development Fund-led consortium for Rs 550 crore.

Silver Peak Investments (Mauritius) is a wholly-owned subsidiary of JP Morgan Chase & Co and India Development Fund is a fund managed by IDFC Private Equity.

A formal agreement to this effect was signed today between L&T, L&T-IDPL and the investors. This deal puts the valuation of L&T-IDPL at Rs 2,448 crore. L&T-IDPL portfolio includes more than twenty projects in operation and construction with a further six projects under development.

The company has developed and sold or leased a total floor space area of over six million sq ft in Hyderabad, Bangalore, Visakhapatnam, Chennai, Kochi, and Colombo (Sri Lanka).

JP Morgan, through its Asian Special Situations Group, invests across a range of industries in the capital structure of companies in various phases of their strategy and growth.

IDFC Private Equity manages two funds - India Development Fund and IDFC Private Equity Fund II - with a combined corpus of $620 million (Rs 2,800 crore).

Portfolio companies include GMR Energy, Gujarat State Petronet, Chalet Hotels, Hotel Leelaventures, Gujarat Pipavav Port and Delhi International Airport.