In a bid to reduce its debt, Ashok Leyland is planning to sell its stake in few of its subsidiaries and also in IndusInd Bank. The company’s debt currently stands at around Rs 3,500 crore. The sale of investments in such companies will help Ashok Leyland to raise about Rs 500 crore. The process is expected begin once the merger of two of its associate companies Ashley Holdings and Ashley Investments with Ashok Leyland are completed.
In this regard, the company has already hired consulting firm McKinsey to advise the company on better working capital management.
Some of the company in which Ashok Leyland is planning to dilute its stake includes IndusInd Bank (in which the company holds shares worth around Rs 700 crore), Hinduja Leyland Finance (HFL), Albonair GmbH, Defiance Technologies and Defiance Testing.
Meanwhile, Ashok Leyland has partially diluted its stake in IBL and in ICICI and booked a profit of around Rs 75-76 crore during the current fiscal.
| Company Name | CMP |
|---|---|
| Ashok Leyland | 168.65 |
| Force Motors | 20878.00 |
| Olectra Greentech | 1340.60 |
| Tata Motors | 431.10 |
| SML Mahindra | 3800.40 |
| View more.. | |
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