Larsen Toubro Infra Development Projects
In an attempt to speed up infrastructure projects, Canada Pension Plan Investment Board (CPPIB) in a recent move has invested its initial amount worth Rs 1,000cr in Larsen & Toubro Infrastructure Development Projects (L&T IDPL) for which the two companies had signed an agreement in earlier this year, said official sources claiming that the offshore player will invest the second tranche of a similar amount in the next two months and that the latest move has also marked the first direct investment by the Canadian pension plan in an Indian infrastructure building player. CPPIB has invested in preference shares of L&T IDPL, compulsorily convertible into equity shares by 2018, at a valuation to be determined according to a mutually-agreed process after that the Canadian firm would hold a minority stake in the equity capital of L&T IDPL. The Indian player handles a portfolio of infrastructure assets comprising road projects, ports and the Hyderabad Metro Rail project, they added.