Larsen and Toubro (L&T) have now increased its holdings in Mindtree to 26.48 percent buying more than 8.86 lakh equity shares. L&T took 886,438 equity shares with a face value of Rs 10 each from the open market at nearly Rs 980 apiece from the Bengaluru based mid-tier IT services company, on Thursday.
However, last week, the engineering major lost the deadline to issue an open offer letter to Mindtree shareholders after the Securities and Exchange Board of India (SEBI) had raised questions to its merchant bankers. L&T responded to the SEBI on May 10.
Concerns were raised by the Mindtree promoters over L&T’s ‘hostile takeover’ of the company ever since the engineering major mentioned its plans to increase stake in the software services company.
In April, Mindtree appointed a panel of independent directors to review L&T’s open offer and its benefits to the shareholders of the company.