L&T shares climbed 1.55% to ₹3,683.50 on Monday following the announcement of initial activities commencement for the New Tashkent International Airport project. According to CNBC TV18, this represents the stock's highest level since the project announcement, with the company receiving its highest-ever price target of ₹5,060 per share from JPMorgan, which has maintained its 'overweight' rating. The stock had previously declined 11% so far this year, making Monday's surge particularly significant for investors.
Larsen and Toubro announced that its public spaces, airport and health (PAH) business vertical has commenced initial activities for the ultra-mega New Tashkent International Airport project in Uzbekistan. The PAH business vertical secured a limited notice to proceed (LNTP) from the public-private partnership consortium developing the New Tashkent International Airport. L&T classifies orders over ₹15,000 crore in value as ultra-mega projects, with this project representing its highest order-value category. The LNTP has been issued after the execution of an engineering, procurement and construction (EPC) contract awarded to L&T previously for the construction of the passenger terminal and associated landside infrastructure of the greenfield airport.
The New Tashkent International Airport project involves constructing a passenger terminal and associated landside infrastructure designed to serve approximately 17 million passengers annually. The airport is being developed on a 1,310-hectare site and is scheduled to be developed between 2026 and 2030. L&T's comprehensive scope of work covers site grading, road infrastructure, structural works, architectural finishes, mechanical, electrical and plumbing (MEP) services, utilities, and the installation of advanced airport systems. The broader project is expected to attract around $3 billion in investment, with the first phase estimated at about $2.5 billion.
The New Tashkent International Airport is being developed under a 35-year PPP concession involving a consortium of international partners. Saudi Arabia's Vision International Investment Company holds a 45% stake, Japan's Sojitz Corporation maintains a 30% stake, South Korea's Incheon International Airport Corporation holds a 15% stake, and Uzbekistan Airports owns the remaining 10% stake. The first phase is planned to include two 4-km runways, a 208,000-square-metre passenger terminal and facilities to handle up to 129,000 tonnes of cargo annually. The airport's initial capacity is planned at 20 million passengers a year, which could eventually rise to 46 million.
According to CNBC TV18, Sthaladipti Saha, Senior Vice President & Head – Buildings Infrastructure at L&T, stated that the execution of this project marks a significant milestone in L&T's global infrastructure EPC portfolio. The company emphasized that the project further strengthens its position in the airport infrastructure segment and its ability to execute large and complex EPC projects across geographies. The New Tashkent International Airport forms a key pillar of Uzbekistan's long-term transport infrastructure strategy and is planned to become one of Central Asia's largest aviation gateways for passenger, cargo and logistics traffic.
