Infrastructure major Larsen & Toubro (L&T) on Wednesday (December 4) said it has successfully completed the acquisition of a 15% stake in E2E Networks Ltd through a preferential allotment. In addition to this, L&T is set to acquire a further 6% stake from the promoters of E2E Networks, with the secondary acquisition expected to be finalised on or before May 30, 2025.
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“…we wish to inform that the company has completed the acquisition of a 15% stake in E2E Networks Limited via preferential allotment on December 4, 2024. The secondary acquisition of 6% from the promoter of E2E Networks Limited is expected to be completed on or before May 30, 2025,” Larsen & Toubro said in a regulatory filing.
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Last month, Larsen & Toubro said it will acquire a 21% stake in E2E Networks Ltd, a cloud services company, for ₹1,407.02 crore. The move assumes significance as it will increase L&T’s reach in cloud and AI services — the key growth areas in the technology sector.
“The company has entered into an investment agreement on November 5, 2024, for the acquisition of up to 21% stake in E2E Networks Ltd,” L&T said. The company will make an investment of ₹1,079.27 crore for a 15% stake via preferential allotment and ₹327.75 crore for an additional 6% stake through a secondary acquisition.
E2E Networks specialises in providing CPU and GPU-based cloud computing platforms to help its customers carry out large-scale general and AI workloads by leveraging its relationship with NVIDIA. E2E Networks has strategic alliances with major OEMs, including NVIDIA, Intel, AMD, Microsoft and Dell.
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Shares of Larsen and Toubro Ltd ended at ₹3,799, up by ₹15.85, or 0.42%, on the BSE.
(Edited by : Shoma Bhattacharjee)
