Telangana govt takes over Hyderabad metro operations
The Telangana government has formally acquired Hyderabad Metro Rail Phase I by purchasing 100% equity in L&T Metro Rail (Hyderabad) Limited. The deal, valued at Rs 1,461.47 crore, transfers responsibility for refinancing LTMRHL’s Rs 13,538.53 crore debt to the state government.
Hyderabad: Telangana government, pursuant to its decision to take over Hyderabad Metro Rail Phase-I through Hyderabad Metro Rail Limited (HMRL), has signed a Share Purchase Agreement with Larsen & Toubro Limited and L&T Metro Rail (Hyderabad) Limited (LTMRHL) for the acquisition of 100% equity shares of LTMRHL at an equity value of Rs 1,461.47 crore.
The agreement was signed in the presence of Chief Secretary and Chairman of HMRL, K Ramakrishna Rao, and senior management of L&T and LTMRHL.
Sarfaraz Ahmad on behalf of HMRL, D K Sen on behalf of L&T Ltd and KVB Reddy on behalf of LTMRHL signed the Share Purchase Agreement.
The debt of LTMRHL, amounting to Rs. 13,538.53 crore, as of April 30, 2026, which was guaranteed by L&T, would now be refinanced with a guarantee issued by the Government of Telangana.
L&T Metro Rail (Hyderabad) Limited has been operating Hyderabad Metro Rail Phase I, spanning three corridors with a total network length of 69 kilometres, since November 2017.
The system currently serves an average daily ridership of approximately 4.5 lakh commuters and has logged in about 86 crore passenger trips since its inception.
