L&T Acquires SiliConch Systems for Rs 183 Crore to Strengthen Fabless Semiconductor Business

Larsen & Toubro (L&T) has signed an agreement to acquire Bengaluru-based SiliConch Systems for Rs 183 crore. The acquisition aims to boost L&T's engineering skills and design expertise in the fabless semiconductor business. The deal, expected to complete by September, includes upfront and deferred payments.

Larsen & Toubro (L&T) on Tuesday announced the acquisition of Bengaluru-based SiliConch Systems for Rs 183 crore. This strategic buyout aims to enhance L&T's engineering and design capabilities in the fabless semiconductor sector.

The agreement, signed by L&T Semiconductor Technologies Ltd, a wholly-owned subsidiary of the company, involves the acquisition of 100% stake in SiliConch Systems. The transaction is expected to close by September, pending customary conditions.

The acquisition costs include an upfront payment of Rs 133 crore and a deferred amount of Rs 50 crore over four years, based on performance targets. SiliConch, a specialist in semiconductor IP and IC design, primarily serves customers in the US, including OEMs and fabless IC companies.

(With inputs from agencies.)