Mumbai: Continuing with the strategy of rationalising its portfolio by exiting non-core businesses, engineering major Larsen & Toubro (L&T) today said it has sold its entire stake in L&T Plastics Machinery (LTPML) to a Japanese company Toshiba Machine Company Ltd.
"L&T today signed a share sale and purchase agreement, pending final closing conditions, with Toshiba Machine (TMC), Japan, to sell its entire stake in L&T Plastics Machinery Ltd. The move is in line with the L&T's strategic road-map to exit non-core businesses and rationalise its portfolio," a company statement said.
The company has, however, not divulged details of the valuation of the deal with Toshiba.
Earlier, L&T had divested stake in its ready-mix concrete, cement and other non-core businesses.
LTPML, a wholly owned subsidiary of L&T, manufactures and markets injection moulding machines.
"With a significant installed base of injection moulding machines across various sectors such as automotive, packaging, stationery among others, the company enjoys strong brand recognition and has valuable on-going customer relationships," it said.
TMC is involved in the manufacture of injection moulding machines and other machinery and has manufacturing units in Japan and China, and primarily caters to the Asian and North American markets.
"As a part of its strategy to expand globally with a focus on developing countries, TMC has decided to acquire L&T's stake in LTPML," the company added.
First Published: Monday, August 27, 2012, 18:52