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Home / Companies / News /  L&T buys VG Siddhartha, Coffee Day stake in Mindtree for 3,210 crore

New Delhi: Infratsructure major Larsen & Toubro has purchased around 20% stake of V.G. Siddhartha and Coffee Day in Mindtree through block deal for about 3,210 crore.

According to data available at the BSE, L&T bought 3.27 crore shares held by Siddhartha and Coffee Day Trading Limited on Tuesday.

The infrastructure major is in fray to buy up to 66% stake in the Mindtree for around 10,800 crore.

L&T has entered into a deal to buy Cafe Coffee Day owner Siddhartha's 20.32% stake in Mindtree and has also placed an order with brokers to pick up another 15% of the company shares from the open market for about 2,500 crore.

Subsequent to these deals, L&T has made an open offer to buy additional 31% stake through an open offer.

Mindtree had formed a panel of independent directors to look into "unsolicited open offer" by infrastructure major L&T to give its recommendations.

Mindtree's promoters have called L&T bid as hostile and raised corporate governance issues at L&T and culture difference between the two companies.

The co-founders in a letter said that many institutional investors, clients and employees of MindTree have expressed their reservations to be part of an L&T-controlled organisation due to cultural difference between the two companies.

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