Indian newspapers have reported today that Larsen & Toubro (L&T)  is planning to raise over 2,500 crore (US$466 million) by selling 20% of L&T Infrastructure Development Projects, its infrastructure arm. The Malaysian sovereign fund Khazanah seems to be in advanced negotiations with L&T.According to these sources, the proposed transaction will value the infrastructure company at around Rs 12,500 crore ($2.3 billion).

L&T Infrastructure Development Projects Limited (L&T IDPL) is a major player in Public Private Partnership (PPP) projects in India with business interests across Roads & Bridges, Ports, Metro Rail, Wind Energy and emerging sectors such as development of Power Transmission Lines, Water & Railways .

Incorporated in 2001 as Larsen and Toubro Holdings Ltd., a wholly-owned subsidiary of Larsen & Toubro, L&T IDPL currently handles a portfolio of infrastructure assets worth INR 450 Billion comprising 18 Road projects, 2 Ports, the Hyderabad Metro Rail project and a Wind Energy project.

During last year, L&T Infrastructure Development Projects Limited achieved financial close for two road PPP projects in India:

• Four laning of Jalgaon- Maharashtra/Gujarat border section of NH-6 on DBFOT (toll)
• Four laning of Amravati-Jalgaon Section of NH-6 on DBFOT (Toll)