- 07 Apr 2022
- ICICIdirect Research
L&T WINS LARGE ORDER IN BUILDINGS, FACTORIES BUSINESS
LT - 3353 Change: -30.45 (-0.90 %)News: L&T Construction has been awarded significant (ranging from Rs 1000-2500 crore) contracts for its buildings & factories business. The health segment of the business has secured an order from the Telangana government to construct a super specialty hospital with 1750 bed at Warangal health city, Telangana on design & build turnkey basis with stringent timelines. Upon completion, this will be one of the biggest hospitals with modern facilities in the state and the tallest hospital structure in the country. Apart from the 1,750-bed hospital block, the project involves constructing a configuration of the basement and other ancillary buildings. The facility covers specialty departments such as anesthesia, dermatology, neurology, orthopedics, psychiatry, pulmonary medicine, radiology, biochemistry, microbiology, pathology, and other departments
Views: L&T remains the best way to play the capex recovery theme in India given its strong execution capability, presence across diverse sectors and geographies which makes its less vulnerable during down cycles. Improving RoEs and reducing debt makes it an attractive portfolio bet to ride the infrastructure and manufacturing cycle revival theme
Impact: Positive