L&T ended all the metro deals with the Hyderabad government. Find out the details; According to R Shankar Raman, the director of L&T, the Hyderabad Metro project will be sold off after 2026. Currently, L&T holds a 90% stake in the project, while the Telangana government owns the remaining 10%. L&T has a 65-year concession to operate the metro system.
Official statement of the L&T president
R Shankar Raman is also the president and CFO of L&T. He pointed out a change in the gender distribution within the transportation system. Despite the number of buses remaining the same, he observed that more women were choosing to travel by bus, while men were increasingly opting for the railway. Raman attributed this trend to the free bus scheme implemented by the Congress government. It made bus travel more attractive to women. In contrast, men typically pay an average of Rs 35 per ticket to use the metro.
L&T future plans
The Mahalakshmi bus scheme provides free travel for women and transgenders on government-operated non-AC buses in Telangana.Currently, around 480,000 individuals utilize this service daily. Raman emphasized the necessity to reduce the financial strain on the project due to the existing number of passengers.In an interview with Business Today TV, he mentioned that L&T has secured a Rs 3,000 crore soft loan from the Telangana government. It will be repaid without any interest. Additionally, the company is considering monetizing certain real estate assets linked to the metro system. Raman emphasized that basing decisions solely on promises would not be beneficial for the state’s financial situation. He expressed his disapproval by stating, “There is no enjoyment in such actions.” On the other hand, according to a report by Business Today, L&T recorded a significant 10.2 percent increase in consolidated net profit. It reached Rs 4,396.12 crore in the March quarter due to increased revenue.
