Defence Ministry inks contract with L&T for two multipurpose vessels

The Ministry of Defence has signed a contract with Larsen & Toubro (L&T) for acquisition of two multi-purpose vessels (MPVs) for Indian Navy at an overall cost of Rs 887 crore under "Buy-Indian" category.

The MPVs will be the first of its kind platform, constructed to provide a cost-effective solution to meet a variety of requirements of Indian Navy.

These vessels, to be built by M/s L&T shipyard at Kattupally (Chennai), will perform multi-role support functions such as maritime surveillance& patrol, launching/ recovery of torpedoes and operation of various types of aerial, surface and underwater targets for Gunnery/ ASW firing exercises.

These vessels would also be capable of towing ships and rendering humanitarian assistance & disaster relief (HADR) support with limited hospital ship capability.

They will also act as trial platform for naval weapons and sensors under development, support platform for ISV & salvage operations, and to provide logistics support for our island territories.

"This contract will further boost and encourage active participation of Indian Shipbuilding Industry in consonance with the Aatmanirbhar Bharat initiatives of the Government of India," the Ministry of Defence said in a statement.

L&T is an Indian multinational engaged in EPC projects, hi-tech manufacturing and services. It operates in over 50 countries worldwide.

The EPC major's consolidated net profit fell 16.70% to Rs 2,054.74 crore on 11.14% increase in net sales to Rs 39,562.92 crore in Q3 FY22 over Q3 FY21.

The scrip shed 0.35% to currently trade at Rs 1744.70 on the BSE.

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