L&T Technology Services (LTTS) has finalized the sale of its Smart World & Communication (SWC) business unit to AMI Paradigm Solutions Private Limited for ₹452 crore, marking a significant milestone in the company's strategic shift. The transaction, structured as a slump sale, encompasses the SWC unit's smart & safe and communications segments, allowing LTTS to focus on its core engineering services offerings.
The divestment is poised to benefit both companies, with AMI Paradigm, a provider of integrated technology solutions, leveraging the acquired SWC business to expand its portfolio and market reach within the smart world and communication domains. The ₹452 crore deal represents a substantial financial event for both companies, with the acquisition expected to strengthen AMI Paradigm's capabilities in delivering advanced technology solutions to a broader range of clients.
The SWC business provides solutions for smart cities, transportation, and industrial automation, among other areas, and the completion of the sale is subject to customary closing conditions. The transfer of the undertaking as a going concern for a lump sum consideration without separating assets and liabilities is a key aspect of the slump sale. Details regarding the specific terms of the agreement beyond the purchase price were not immediately disclosed.
