L&T Faces Bankruptcy Petition Over ₹200 Crore Dispute with Pipe Producer | Share Market | Finance | Bankruptcy |

 

Texmo Pipes & Products Ltd., a company that makes plastic pipes and fittings and is worth ₹216 crore, has filed for insolvency against Larsen & Toubro Ltd. (L&T), a major infrastructure and engineering company. The application was submitted under Section 9 of the Insolvency & Bankruptcy Code, 2016, on Saturday, June 1, 2024, according to an exchange filing. The case is now with the National Company Law Tribunal (NCLT).

Texmo Pipes has filed a petition against L&T for not paying ₹23.51 crore owed for supplied goods. According to Texmo Pipes, they are seeking recovery of these dues through the National Company Law Tribunal (NCLT) as an operational creditor under Section 9 of the Insolvency and Bankruptcy Code.

Texmo Pipes hasn't specified which order the amount is for or when it was completed. L&T, a massive company with a market value of nearly ₹4.5 lakh crore, hasn't yet responded to this petition.

Recently, Texmo Pipes reported their March quarter results on May 29, showing a significant drop in revenue to ₹85 crore from ₹166.9 crore in the same period last year.

The company reported a net loss of ₹6.8 crore for the quarter, a significant improvement from the ₹75.36 crore loss in the same quarter last year. Last year's higher loss was due to a surge in other expenses, which were ₹89.59 crore, compared to just ₹7 crore this quarter.

On Friday, Texmo Pipes' shares closed 1% lower at ₹74.10. Over the past 12 months, the stock has risen 25%, but it has remained flat so far in 2024.

Related Link: 

https://www.cnbctv18.com/market/texmo-pipes-share-price-insolvency-petition-against-larsen-toubro-non-payment-dues-23-crore-19422265.htm