Leighton buys out Welspun stake in Indian JV
Australian contractor to pay $99m to acquire remaining 39.9% of firm
Leighton Holdings, the Australian company which owns a 45% stake in Dubai's Habtoor Leighton Group, has announced that it is to buy out its joint venture partner in its Indian business, Leighton Welspun, in a deal worth $99m.
The company said that the deal arose from Welspun's decision to focus on its core businesses, which include textiles, pipes, steel and energy.
Prior to the announcement, Welspun had owned a 39.9% stake in the company, which was branded as Leighton Welspun but is now changing its name to Leighton India.
Leighton Welspun was established in 2010 and operates in the building, infrastructure, mining and oil & gas markets.
Leighton said that it "continues to see strong long-term prospects in the India market".
It added that it will now undertake a review of the business to consider integrating units in a bid to cut costs and provide better growth opportunities.