Ashok Leyland gains after reducing stake in IndusInd Bank

Ashok Leyland rose 1.14% to Rs 17.70 at 10:18 IST on BSE after the company said it sold 50 lakh shares of IndusInd Bank on Tuesday, 18 March 2014, through a combination of bulk deal and normal trading.

The company made the announcement after market hours on Tuesday, 18 March 2014.

Meanwhile, the BSE Sensex was down 9.20 points, or 0.04%, to 21,823.41.

On BSE, so far 2.34 lakh shares were traded in the counter, compared with an average volume of 11.56 lakh shares in the past one quarter.

The stock hit a high of Rs 17.80 and a low of Rs 17.50 so far during the day. The stock hit a 52-week high of Rs 24.55 on 30 May 2013. The stock hit a 52-week low of Rs 11.82 on 29 August 2013.

The stock had outperformed the market over the past one month till 18 March 2014, rising 14.01% compared with the Sensex's 5.81% rise. The scrip had also outperformed the market in past one quarter, rising 10.06% as against Sensex's 4.66% rise.

The mid-cap company has an equity capital of Rs 266.07 crore. Face value per share is Re 1.

Ashok Leyland sold 31.25 lakh shares of IndusInd Bank through a bulk deal on BSE on Tuesday, 18 March 2014. Shares were sold at an average price of Rs 476.82 per share.

At the end of quarter ending December 2013, Hinduja group firm Ashok Leyland held little over 1 crore shares of IndusInd Bank representing 1.92% stake in the entity.

According to media reports, IndusInd Bank, among the first new generation private sector banks that obtained a licence in 1994, was conceptualised by Srichand P Hinduja, Hinduja Group chairman.

Ashok Leyland's total sales fell 21% to 7,915 units in February 2014 over February 2013. Sales of medium and heavy commercial vehicles (M&HCV) fell 21% to 5,576 units in February 2014 over February 2013. Total sales of light commercial vehicles (LCV) fell 22% to 2,339 units in February 2014 over February 2013.

The company's total sales rose 0.86% to 7,915 units in February 2014 over January 2014.

Ashok Leyland reported a net loss of Rs 167.21 crore in Q3 December 2013 compared with net profit of Rs 74.14 crore in Q3 December 2012. Net sales declined 19% to 1903.28 crore in Q3 December 2013 over Q3 December 2012.

Ashok Leyland, the flagship of the Hinduja Group, is the second largest maker of commercial vehicles in India after Tata Motors.

Powered by Capital Market - Live News