Hinduja Group shares trade weak; IndusInd Bank, Ashok Leyland slip up to 4%

Shares of Hinduja Group companies mainly – IndusInd Bank and Ashok Leyland - were trading lower for the second straight day on Thursday on reports that the Hinduja brothers have taken their dispute over family assets to the High Court in England.

Among individual stocks, IndusInd Bank slipped 4.4 per cent to Rs 460.75 in intraday deals on the BSE today. The stock has slipped 12 per cent in the past two trading days. Ashok Leyland, on the other hand, was down 3 per cent to Rs 52.50 in intra-day trade today, after falling 3.7 per cent on Wednesday. 

At 09:34 am; Hinduja Group stocks had recovered partially from their early morning losses with IndusInd Bank was trading 1.8 per cent lower at Rs 473.45, while Ashok Leyland down 0.55 per cent at Rs 53.80 on the BSE. In comparison, the S&P BSE Sensex was down 0.50 per cent at 34,695 points.

Hinduja Global Solutions, on the other hand, is trading in green - up 1 per cent at Rs 640, after hitting an intra-day low of Rs 630 so far. The stock was down 3.5 per cent on Wednesday.

The legal battle in the Hinduja family, which could result in a partition of family assets, is likely to delay their plan to increase stake in IndusInd Bank. The bank is promoted by holding companies IndusInd International Holdings and IndusInd, which are predominantly controlled by Ashok Hinduja, the youngest among the four Hinduja brothers, according to a Business Standard report.

Promoters of IndusInd Bank have increased their stake from 14.34 per cent in the March quarter to 14.93 per cent through a warrant conversion earlier this month and open market share purchases, the report said. CLICK HERE TO READ FULL REPORT

Meanwhile, the board of directors of the Company is scheduled to meet today, June 25, 2020 to consider and approve the audited financial results of the Company for the quarter and year ended March 31, 2020.