Construction major L&T's arm L&T Realty has sold its 51 per cent stake in a township project at Chennai for Rs 190 crore to an investment firm Pragnya group.
"L&T Realty Ltd, a wholly-owned subsidiary of Larsen & Tourbo Ltd, has executed a share purchase agreement for selling its entire stake in L&T South City Projects Pvt Ltd to Pragnya group," the construction firm said in a BSE filing.
L&T Realty owns 51 per cent stake in L&T South City Projects Pvt Ltd, which is engaged in the development of a 92-acre residential township at Siruseri, Chennai.
On the rationale for sale, L&T said that it was "limited scalability of the business in the project for L&T Realty Ltd".
Pragnya group is an investment firm with a specific focus on fund management, property development and asset management.
The group currently has presence in India, Sri Lanka and Africa and has been investing in these markets for over 14 years.
The group has been involved with L&T South City Projects Pvt Ltd and the development of the 92-acre residential township in Chennai since its inception.
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