Overview

• An official release said the state will assume about ₹13,000 crore of project debt and pay ₹2,100 crore to L&T as a one-time equity settlement, with some reports citing about ₹2,000 crore.
• L&T will divest its roughly 90% stake and has confirmed it will not join Phase 2 as an equity partner, citing its exit from owning and operating transportation concession assets.
• The move targets a deadlock since November 2024 after the Centre insisted on a definitive operational integration pact between Phase 1 and the proposed Phase 2 network of about 163 km.
• Modalities, valuations and legal steps will be worked out and placed before the state Cabinet, with officials indicating the handover could occur within six to twelve months.
• Talks noted L&T’s earlier indication of about ₹5,900 crore for equity value and a pending ₹2,100 crore under a 2022 supplementary agreement, highlighting that some settlement details remain to be finalised.