L&T mounts hostile bid for Mindtree, eyes 67% stake for Rs 10,733 crore

The deal is likely to be closed by the first quarter of FY20

Engineering major Larsen and Toubro (L&T) on Monday mounted a hostile takeover bid for Bengaluru-headquartered Mindtree, with a multipronged strategy to buy around a 67 per cent controlling stake in the IT company for about Rs 10,733 crore.

As the first step, L&T entered into a deal to purchase the 20.32 per cent stake of Mindtree’s single-largest investor, V G Siddhartha, at Rs 980 per share in an all-cash transaction, which translates into Rs 3,269 crore.

Following the deal, the Mumbai-based engineering major placed an order to buy an additional 15 per cent from the market, also at Rs 980