Mindtree to be run independently for now, says L&T

Engineering major L&T which mounted a hostile takeover of software firm Mindtree with Rs 10,733-crore bid on Monday ruled out merging it with its IT arm for the time being.

L&T on Monday announced a hostile takeover bid involving a three-pronged acquisition of Mindtree, wherein it will pay Rs 980 a share for 20.3 per cent stake of V G Siddharth, buying 15 per cent from the public and mounting an open offer at Rs 980 a share later.

Thus, it plans to acquire 67 per cent for a consideration of Rs 10,733 crore.

“We have not thought about integrating Mindtree with us (L&T Infotech). For the time being, it will be run as an independent entity,” L&T Managing Director and chief executive S N Subramanyan told reporters here on Tuesday.