Mindtree slips after L&T buys 20% stake of the company, L&T down 1%

Shares of IT firm Mindtree were trading flat in the opening deals on Tuesday afer the engineering and construction major Larsen & Toubro (L&T) last night announced purchase of a 20.32 per cent stake in the company for Rs 3,269 crore.

L&T, which is acquiring the shares from CCD (Cafe Coffee Day) founder VG Siddhartha and companies related to him, said it had also placed an order with its broker for an on-market purchase of up to 15 per cent of Mindtree’s shares at Rs 980 apiece.

It is also looking to buy an additional 31 per cent from Mindtree’s public shareholders at the same price, news reports say.

“Mindtree will benefit from access to larger client base and wider product offerings under a common parentage, giving higher returns to shareholders of Mindtree,” L&T said in its statement.