L&T Arm Signs Deal With Valor Estate For Mumbai Real Estate Project, Shares Rise
The definitive agreement will be signed, subject to satisfactory completion of due diligence and fulfilment of conditions precedent, L&T said.
Larsen and Toubro Ltd.'s wholly-owned arm, L&T Parel Project Private Ltd., has signed a memorandum of agreement with Valor Estate Ltd. for the development of a real estate project in Mumbai, the company said. The engineering made the statement in clarification over media reports on the deal.
The definitive agreement will be signed, subject to satisfactory completion of due diligence and fulfilment of conditions precedent, the company said in an exchange filing.
The subsidiary, which is in the real estate development business, did not comment on the project's size.
Shares of L&T rose 0.5% during trade today to before cooling off to trade 0.23% higher at Rs 3,783.55 per share on the NSE. Meanwhile, the benchmark NSE Nifty 50 advanced 0.43% at 2:16 p.m.
It has risen 10.08% on a year-to-date basis. Total traded volume on the NSE so far in the day stood at 0.53 times its 30-day average. The relative strength index was at 62.90.
Out of 35 analysts tracking the stock, 30 have a 'buy' rating on the stock, three suggest a 'hold' and two recommend a 'sell', according to Bloomberg. The analyst consensus price target is Rs 3,991.44, a potential upside of 5.5% from the current market price.
