Monday, 4 June 2012

L&T may merge property development and real estate units


Economic Times reported that engineering and construction conglomerate Larsen & Toubro may merge its property development and real estate units as part of a business realignment strategy.

An executive of L&T Realty on condition of anonymity said that "L&T Urban Infrastructure will now be merged with L&T Realty, which in turn will manage the real estate business for the company. L&T Realty is strengthening its real estate team and has increased focus on the segment.”

The development, however, could not be confirmed by the parent company.

L&T owns 75% stake in L&T Urban Infrastructure, which builds residential and commercial infrastructure facilities, including IT parks. L&T Realty is its wholly owned subsidiary.

The executive added that "As part of the consolidation process, L&T Realty will take over projects that are currently being executed by L&T Urban Infrastructure.”

Source - Economic Times

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