L&T Expands Cloud Capabilities with Strategic Stake in E2E Networks

Larsen & Toubro (L&T) plans to acquire a 21% stake in E2E Networks Ltd for Rs 1,407.02 crore, expanding its reach in cloud and AI services. The strategic move aligns with L&T's focus on GenAI solutions, promoting a shift in cloud computing in India. The partnership aims to digitalize industries sustainably.

Larsen & Toubro (L&T) announced on Tuesday its plan to acquire a 21% stake in the cloud services firm E2E Networks Ltd for Rs 1,407.02 crore. This investment, pivotal for increasing L&T's involvement in cloud and AI services, reinforces its strategic growth in the technology sector.

According to a regulatory filing dated November 5, 2024, L&T will first invest Rs 1,079.27 crore to obtain a 15% stake through preferential allotment, followed by Rs 327.75 crore for an additional 6% via secondary acquisition. The completion of this stake acquisition is anticipated by December 31.

The collaboration, which marks a prominent shift toward GenAI solutions and accelerated computing on the cloud, is designed to support startups and businesses in India. This move is set to aid in digital transformation across industries, offering a cutting-edge and sustainable technology framework.

(With inputs from agencies.)