Engineering giant Larsen & Toubro (L&T) has formed a new subsidiary, L&T Green Energy Kandla Private Limited, as part of its strategy to enter the expanding green hydrogen and ammonia market. This wholly-owned step-down subsidiary of L&T will operate under L&T Energy Green Tech Limited. With an initial capital of ₹1 lakh, the subsidiary is gearing up to focus on the development of green hydrogen and its derivatives, including green ammonia. The incorporation aligns with L&T's broader commitment to clean energy solutions and their efforts to contribute to global decarbonization. Despite being a related party transaction, the investment was carried out at an arm's length basis, as confirmed by L&T's regulatory filing. The move signifies L&T's proactive approach in strengthening its foothold in the renewable energy sector, particularly emphasizing the growing importance of green hydrogen in the global energy transition. L&T's shares experienced a slight dip ahead of the announcement, closing at ₹3,259.20. The establishment of LTGEK reflects a strategic initiative by L&T to capitalize on the increasing demand for green hydrogen and showcase their dedication towards sustainable energy practices.