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Sebi turns down L&T's Rs 9,000-cr share buyback citing compliance issues

L&T applied for the buyback in compliance with the required ratio post buyback on the basis of its standalone financial statements

Larsen & Toubro, L&T

The Securities and Exchange Board of India (Sebi) has denied approval to Larsen & Toubro’s (L&T’s) Rs 9,000-crore share buyback plan, citing compliance issues over its post-buyback debt-equity ratio. “You are, therefore, advised not to proceed with this buyback offer,” the market regulator wrote in its January 18 letter to L&T. “Since the ratio of the aggregate of secured and unsecured debts owed after the buyback would be more than twice the paid-up capital and free reserves based on consolidated financial statements, the buyback offer is not in ...