The Telangana Government has authorized the Managing Director of Hyderabad Metro Rail (HMR) to finalize a Share Purchase Agreement (SPA) with L&T Hyderabad Metro for ₹15,000 crore.
An official order issued today also greenlit a loan of ₹13,651 crore from the Indian Railway Finance Corporation (IRFC), set to be repaid over a period of 20 years. Additionally, the government approved a debit mandate favoring the Reserve Bank of India (RBI) concerning the guarantee extended to IRFC on behalf of L&T Metro Rail (Hyderabad) Limited (LTMRHL) for the forthcoming loan.
Regarding the workforce, the order specifies that 115 LTMRHL employees will remain employed for an additional year, at an estimated cost of ₹24.3 crore annually for HMRL. Furthermore, the services of seven CXO-level employees from L&T will be retained for a six-month advisory period to provide guidance on metro operations and other essential support, covered at L&T’s expense.
In February, the State Cabinet had approved the acquisition of full equity in Phase-I of the metro project. This transaction is expected to include around ₹13,000 crore in existing debt alongside payments toward L&T’s equity investment.
The Cabinet, which convened on Thursday, endorsed a sub-committee’s final recommendations regarding the takeover’s modalities before issuing the current order.
Published on April 24, 2026.
