Mumbai, Dec 27 (IANS): Engineering major Larsen and Toubro (L&T) Tuesday said its ship-building arm - L&T Shipbuilding Ltd (LTSB) - is set to sign an agreement with Mitsubishi Heavy Industries (MHI) Japan to get technological support for the construction of commercial vessels.

"The agreement under which MHI will provide licensing and technology support, including training of LTSB engineers, represents the successful convergence of the long term business interests of both companies," the company said in a regulatory filing.

"MHI has been proactively promoting development of its engineering business, centering on technology licensing, while L&T Shipbuilding has been seeking to strengthen its shipbuilding business through the introduction of technology from a global leader," it added.

The agreement calls for MHI to provide support for an initial period of three years, with an option to extend beyond that time frame.

Going forward the companies will eventually jointly market and sell commercial vessels.

At the Bombay Stock Exchange, the shares of L&T were 1.77 percent up to trade at Rs.1,043.95.