The earliest date for the IPO is the first quarter of 2014, IFR said, adding the current weak outlook for the Indian economy and the rupee makes it hard to sell a business trust IPO to foreign investors.
Nomura Holdings and Standard Chartered are working with Larsen & Toubro on the deal and others may also join the transaction, IFR said. Officials with Larsen & Toubro and the banks were not available for comment.
Several other companies, such as Infrastructure Leasing and Financial Services as well as Apollo Hospitals, have been working on Singapore business trust IPOs for their different subsidiaries in recent months, but without much progress, IFR said.
Business trusts, like real estate investment trusts, offer investors steady dividends, greater control over the assets in the trust and get favourable tax treatment.