Larsen & Toubro secures major Indian Navy order

10 Jul 2024 , 09:22 AM

Larsen and Toubro Ltd. announced on July 9 that its precision engineering systems division has secured a substantial contract from Hindustan Shipyard for the Indian Navy. The order falls within L&T’s ‘significant’ range, typically ranging from ₹1,000 Crore to ₹2,500 Crore.

The contract involves the construction of five fleet support ships (FSS) for the Indian Navy, specialized vessels providing logistics to naval task forces at sea.

At the time of writing on July 10, 2024 at 9:15 am shares of Larsen & Toubro opened at ₹3685 which is a 0.52% surge than the previous close. The stock has gained a total of 51% in the last one year, and 4.53% since the beginning of the year.

Each FSS measures over 220 meters in length and displaces around 45,000 tonnes, positioning them among the largest in the Indian Naval fleet.

L&T will build two of these ships at its state-of-the-art shipyard in Kattupalli, near Chennai, known for its advanced technology and adherence to global standards.

This initiative aligns with India’s ‘Aatmanirbhar Bharat’ vision, promoting domestic shipbuilding capabilities. L&T emphasized collaboration between shipyards to ensure timely delivery and support national strategic goals in maritime development.

Since securing its first defence shipbuilding order in March 2010, L&T has successfully delivered over 70 defence vessels.

In a separate development, L&T’s subsidiary, L&T Semiconductor Technologies Ltd, announced the acquisition of SiliConch Systems Pvt. Ltd for ₹183 Crore, further strengthening its portfolio.

Additionally, L&T’s renewable energy arm finalized substantial contracts in the Middle East to construct two 3.5 GW solar PV plants, highlighting its commitment to sustainable energy solutions.

L&T Technology Services (LTTS) is an Indian multinational technology company specializing in engineering research and development (ER&D) services, with its headquarters in Vadodara, India.

The company is involved in various sectors, including automotive engineering, embedded systems and semiconductor engineering, industrial Internet of Things (IIoT), manufacturing plant engineering, and medical engineering. LTTS is a subsidiary of Larsen & Toubro (L&T) and is listed on both the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE). It maintains a global presence with offices across India, the United States, Europe, and Asia.