Larsen & Toubro (L&T) to acquire a 21% stake in E2E Networks, a Delhi-based cloud services company, for approximately ₹1,407 crore through a combination of primary and secondary transactions. The deal is expected to be completed by December 31, 2024.
The acquisition involves a 15% stake through preferential allotment for ₹1,079.27 crores at ₹3,622.25 per share and an additional 6% stake via secondary acquisition from the founder for ₹327.75 crores at ₹2,750 per share.
As part of the deal, L&T will gain the right to nominate two directors on E2E Networks’ board and will enter into software license, reseller, and co-location agreements with the company. However, L&T will remain a minority shareholder with certain protective rights.
Under this alliance, L&T will integrate E2E Networks’ Cloud and AI Cloud platform with its expertise in data center management and cloud solutions towards empowering startups, and enterprises.
Tarun Dua, Chairman and Managing Director of E2E Networks, added, “The strategic collaboration between E2E Networks and L&T marks a significant milestone for the future of adoption of domestically built HyperScaler Cloud Platforms in India. The partnership marks the next step in the journey towards ‘Make in India’ for running production-grade traditional CPU workloads and GPU-led GenAI innovation in India. The narrative in India has changed from being viewed as a digital colony to that of evolving into a provider of sovereign cloud platforms to the world.”
Seema Ambastha, Chief Executive of L&T Data Center and Cloud Business, said, “Collaborating with E2E Networks allows us to offer our clients seamless, scalable and secure cloud experiences. By combining our capabilities, we are delivering a cloud ecosystem designed for businesses in India that want to drive growth, optimise costs and unlock the full potential of AI and digital transformation.”
Founded in 2009 and listed on NSE in 2024, E2E Networks is an Indian Cloud and AI Cloud provider. E2E Networks specializes in GPU-based cloud computing platforms and serves over 3,000 active clients across 10 countries. The company is notable for being the first in India to offer both NVIDIA H100 and H200 GPUs as a service on their public cloud.
