L&T sells glass unit to Somanis

Larsen & Toubro (L&T) on Wednesday announced sale of its glass container business to Ace Glass Containers of the C K Somani Group for an undisclosed amount.

In a media statement released today, L&T said that the move was aimed at sharpening the company's focus on its core businesses in the high technology space. Somani group's Hindustan National Glass & Industries is the leading manufacturer of glass containers in the country.

With this sale, L&T has exited the packaging business. The business will be transferred as a going concern. All employees have been transferred to Ace Glass Containers. The service conditions of the employees will remain unchanged.

L&T began manufacturing flint glass containers in 1996 at Nashik, Maharashtra. The plant has a manufacturing capacity of 320 million tonne a day. The plant serves the liquor, soft drinks and food industries.

The company said that the sale of the glass containers business is yet another step taken by it, after de-merger of the cement business in 2003, to enhance value in its core businesses, which comprises the engineering & construction, high end manufacturing, electrical & electronics, information technology and engineering services.

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Changing the tint

L&T said that the sale was aimed at sharpening focus on core businesses in high technology space comprising the engineering & construction, high end manufacturing, electrical & electronics

All employees of its packaging business have been transferred to Ace Glass Containers