L&T's board approves Rs 90-billion share buyback proposal at Rs 1500 apiece

For L&T, which has divested from a couple of non-core assets in the past few quarters, a buyback will translate into cash outflows

Engineering conglomerate Larsen & Toubro’s board on Thursday approved the company’s first buyback in its 80 years, for up to 4.29 per cent of its paid-up equity capital, aggregating to a value of about Rs 90 billion. In terms of amount proposed, the buyback is the fifth largest by any Indian company.

The company, at its meeting on Thursday, approved a proposal to buy back up to 60 million equity shares at a maximum price of Rs 1,500 per equity share for an amount of Rs 90 billion, L&T said in its statement to exchanges. 

S N Subrahmanyan, chief executive