L&T Technology Services Limited (LTTS) will acquire the smart world and communication (SWC) business of its parent company, Larsen & Toubro (L&T) Limited for Rs 8 billion. The business transfer for LTTS will be on slump sale basis. 

According to L&T, the SWC business comprises the smart and safe segment and communications segment (including all software platforms, IPs related to these segments and employees) of SWC business. The transaction excludes the military communications segment and certain identified customer contracts. The revenue of the business for the fiscal year 2021-22 was Rs 10.98 billion (including inter-segment revenues) and the net worth was Rs 4.4 billion. 

The business transfer transaction is expected to be closed on or before March 31, 2023, subject to satisfaction of the conditions precedent identified under the agreement. According to LTTS, SWC’s capabilities will enhance the company’s differentiation in the exciting field of next-gen communications with cutting-edge solutions around 5G networks, and sustainable spaces, along with a full stack of cyber security solutions to its global clientele.