Larsen & Toubro [L&T] has reached an agreement with the Government of Telangana [GOT] for the government to take over the Hyderabad Metro Rail project. The GOT will refinance the existing debt and acquire the equity of L&T Metro Rail [Hyderabad] Limited at mutually agreed values. The divestment is expected to be completed by the end of the current fiscal year FY26.
Hyderabad Metro Takeover
Larsen & Toubro [L&T] announced that an understanding has been reached with the Government of Telangana [GOT] regarding the Hyderabad Metro Rail project. The GOT will take over the Hyderabad Metro Special Purpose Vehicle [SPV] by refinancing existing debt and acquiring equity of L&T Metro Rail [Hyderabad] Limited.
Terms of the Agreement
The takeover will occur at agreed values. The company anticipates that the divestment process will be finalized by the end of fiscal year FY26. This agreement signifies a strategic shift in the ownership and management of a major urban infrastructure project. The official press note related to the takeover was issued by the Government of Telangana [GOT].
Source: BSE
