L&T clarifies on default of loans by SPVs

Larsen & Toubro Ltd has clarified with reference to the reports that have appeared in the media about 2 Special Purpose Vehicles (SPVs) promoted by L&T Infrastructure Development Projects Limited (a subsidiary of Larsen & Toubro Limited) defaulting on loans obligations.

The above defaults aggregating to Rs. 12 Cr. were with respect to servicing of project loans as on August 31, 2015. The Company wishes to clarify that loans availed by the 2 SPVs are without recourse to either L&T Infrastructure Development Projects Limited or to Larsen & Toubro Limited.

The defaults have occurred primarily out of failure of the respective concession authorities in meeting certain of their obligations under the respective concession agreements.

Shares of LARSEN & TOUBRO LTD. was last trading in BSE at Rs.1462.25 as compared to the previous close of Rs. 1495.95. The total number of shares traded during the day was 313625 in over 14447 trades.

The stock hit an intraday high of Rs. 1489 and intraday low of 1460.05. The net turnover during the day was Rs. 461050918.

Source : Equity Bulls

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