10/07/2020

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A Class Of Its Own

Ashok Leyland to acquire 19% stake in Hinduja Leyland Finance for Rs 1200 crore, Auto News, ET Auto

NEW DELHI: Chennai dependent Industrial vehicle producer, Ashok Leyland, to purchase 19 for each cent...

NEW DELHI: Chennai dependent Industrial vehicle producer, Ashok Leyland, to purchase 19 for each cent stake in Hinduja Leyland Finance Limited (HLFL) for Rs 1200 crore, the business said in BSE filing on Wednesday.

The next-major industrial vehicle producer in its conversation said that “The board of directors of the business, at the conference held these days, have approved to purchase up to 19 for each cent supplemental fairness shares in Hinduja Leyland Finance Limited, from the present shareholders, in tranches, for a thought not exceeding Rs.1200 Crores issue to these approvals, consents, sanctions and permissions of the appropriate authorities, as might be important.”

In February 2020, Ashok Leyland entered into a supplemental share purchase agreement with Everfin holdings, a shareholder of Hinduja Leyland Finance
In February 2020, Ashok Leyland entered into a supplemental share acquire arrangement with Everfin holdings, a shareholder of Hinduja Leyland Finance

HLFL is an RBI registered non-banking finance business and owned the holding business of Ashok Leyland. It posted a profits of Rs 2560.sixty four cr in FY19, scheduling a net earnings of Rs 275.sixty cr.

Previous month, Ashok Leyland entered into a supplemental share acquire arrangement with Everfin holdings, a shareholder of Hinduja Leyland Finance (HLFL), for agreeing to purchase collectively, three,28,14,401 shares of Rs one hundred and one- each (constituting seven% in the compensated-up share capital of HLFL) at an agreed rate of Rs.119/- for each share aggregating Rs 390.forty nine crore

The industrial vehicle maker experienced sold 18,245 units in February final yr. Domestic industrial vehicle revenue ended up down 29 for each cent at ten,612 units as from seventeen,352 units in the yr-ago month, it additional. Medium and major industrial vehicle revenue in the domestic market ended up down 47 for each cent to 6,745 units as as opposed to twelve,621 units in February final yr.

Similarly, light industrial vehicle revenue ended up down 18 for each cent at three,867 units as from 4,731 units in the corresponding month final yr.