Larsen & Toubro (L&T) on Thursday said it has purchased Tamil Nadu Industrial Development Corporation Ltd’s (TIDCO) 3 per cent stake in its subsidiary L&T Shipbuilding Ltd for Rs 32.74 crore.

“The company has purchased the entire stake held by Tamil Nadu Industrial Development Corporation Ltd (TIDCO) in L&T Shipbuilding Ltd (LTSB), a subsidiary company, on April 10, 2019. TIDCO held 3 per cent stake in LTSB. The same has now been acquired by L&T, to make it a wholly owned subsidiary,” L&T said in a BSE filing.

L&T said it acquired TIDCO’s stake pursuant to exercise of a put option which TIDCO had on Larsen & Toubro Ltd which is the promoter of L&T Shipbuilding as agreed with TIDCO at the time of inception of L&T Shipbuilding.

L&T Shipbuilding was incorporated on November 13, 2007, and currently operates a modern shipyard from Kattupalli, Chennai carrying out shipbuilding and ship related activities.

The company undertakes manufacture and building of warships, auxiliary vessels/crafts and specialised commercial ships.

In addition, Kattupalli shipyard also undertakes repairs and refits of both defence and commercial ships.