L&T sells fuel dispenser biz to US firm for Rs 150 crore

Larsen and Toubro (L&T), the engineering and construction giant, is selling its petroleum dispensing pump (PDP) business to US company Gilbarco Veeder-Root. Sources said the deal would be valued around Rs 150 crore.

Gilbarco has signed a definitive purchase agreement to acquire the business. With the completion of acquisition, L&T’s PDP business will become part of a new division called Gilbarco Veeder-Root India Pvt Ltd.

All business will be then conducted under the Gilbarco name. Sudhanshu Chhabra would become managing director for all of Gilbarco’s India business, said the US company in a statement.

The PDP unit manufactures, sells, integrates and services petroleum dispensers, LPG equipment, and automation systems solutions. It has facilities in Mumbai and Coimbatore.

Gilbarco Veeder-Root, wholly-owned by Danaher Corporation, is the leading global supplier of integrated fuel control, site management, and support services for petroleum marketers and commercial fueling enterprises. The Gilbarco group of companies employs approximately 4,000 associates, and is headquartered in Greensboro, North Carolina.

“The acquisition of L&T’s PDP business unit, with their strong position in the India market, significantly enhances Gilbarco Veeder-Root’s position in one of the highest growth markets for our products and systems,” said Martin Gafinowitz, President.

R N Mukhija, President (Operations) and Member of the L&T Board, noted, “Gilbarco Veeder-Root’s brand, product breadth and global presence, combined with PDP’s excellent team, products and manufacturing capability, will be very valuable to the retail fuel customers in this market.”