L&T Expands Semiconductor Arm Via Rs 183 Cr Siliconch Acquisition

Larsen & Toubro, the engineering and infrastructure giant, said on Tuesday that its wholly-owned subsidiary L&T Semiconductor Technologies, has signed a share purchase agreement to acquire a 100% stake in SiliConch Systems.
 

Key Takeaways from Larsen & Toubro’s Expansion 

• L&T wholly-owned subsidiary, L&T Semiconductor Technologies, has signed a share purchase agreement.
• The deal has been signed to acquire a 100% stake in SiliConch Systems.
• The acquisition will be done with an upfront payment of Rs 133 crore and a deferred amount of Rs 50 crore payable over four years.
• The total acquisition cost for Larsen & Toubro will be Rs 183 crore.
• The acquisition is likely to be completed by September 15, 2024.
   

A delayed payment of Rs 50 crore to be paid over four years and an upfront payment of Rs 133 crore would be used to fund the transaction, subject to customary closing adjustments, subject to meeting certain milestones and conditions. This brings the total acquisition cost for Larsen & Toubro to Rs 183 crore.
 

Larsen & Toubro expects the acquisition to contribute intellectual property (IP), engineering skill sets, and design knowledge, strengthening its foothold in the fabless semiconductor market and aligning it with L&T Semiconductor Technologies' growth strategy.
 

L&T said in an exchange filing that the acquisition is likely to be completed by September 15, 2024, subject to customary closing conditions.
 

About Larsen & Toubro Limited 

Larsen & Toubro Limited, headquartered in Mumbai, is one of India's largest and most respected private-sector enterprises, specialising in EPC projects, high-tech manufacturing, and services. With over 80 years of a strong, customer-focused strategy and a never-ending pursuit of world-class quality, L&T has unrivalled strengths in Technology, Engineering, Construction, and Manufacturing, leading in all its key business lines.
 

Larsen & Toubro  operates in more than 50 countries throughout the world. For more than eight years , L&T has achieved a strong, customer-focused approach and the constant quest for top-class quality enabling the company to attain and sustain leadership in its major lines of business. 
 

The company engages in core, high impact sectors of the economy and its integrated capabilities span the entire spectrum of ‘design to delivery’. Every aspect of Larsen & Toubro businesses is characterised by professionalism and high standards of corporate governance with sustainability embedded into their long-term strategy for growth. The company’s manufacturing footprint has extended across eight countries in addition to India. L&T has several international offices and a supply chain that extends around the globe.
 

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