Next week, the L&T Board will consider share buybacks as the company secures a large order from the bullet train project
According to a regulatory filing, the board of infrastructure giant Larsen and Toubro will meet the next week to discuss a proposal to repurchase shares and issue a special dividend for the fiscal years 2023–2024.
The ideas will be discussed at the company’s board meeting on July 25, according to a filing by Larsen & Toubro.
In a separate filing on Friday, the company revealed that its construction division, L&T Construction, had won a “mega” contract from the National High-Speed Rail Corporation Limited (NHSRCL) to build the prestigious Mumbai Ahmedabad High-Speed Rail Project’s 135.45 km MAHSR – C3 package.
Construction of viaducts, stations, significant river bridges, depots, tunnels, earth structures, stations, and other auxiliary works are all included in the MAHSR – C3 package’s scope.
The about 508 kilometer Mumbai-Ahmedabad High-Speed Rail Project, also known as the MAHSR Bullet Train Project, would go through the states of Gujarat and Maharashtra for 348.04 km, 4.3 km, and 155.76 km, respectively, with 12 stops along the way.
L&T withheld the contract’s dollar amount, but according to its definition, a mega order is one worth more than Rs 7,000 crore.
Following the huge order win, L&T shares jumped by around 4% to a 52-week high of Rs 2,594.40 on the BSE. The company, which was the top gainer among Sensex equities, finished 3.88 percent higher at Rs 2,586.25.
On July 25, the board of L&T will review and approve the company’s financial performance for the first quarter of 2023–24.
