Active Stocks
Thu Mar 28 2024 15:59:33
  1. Tata Steel share price
  2. 155.90 2.00%
  1. ICICI Bank share price
  2. 1,095.75 1.08%
  1. HDFC Bank share price
  2. 1,448.20 0.52%
  1. ITC share price
  2. 428.55 0.13%
  1. Power Grid Corporation Of India share price
  2. 277.05 2.21%
Business News/ Money / Company Update: Ashok Leyland
BackBack

Company Update: Ashok Leyland


Company Update: Ashok Leyland

Premium

Ashok Leyland has put ‘on hold’ the proposed Rs700-800 crore investment at its facility in Pantnagar and its mother plant at Chennai owing to slowdown in the domestic market.

Ashok Leyland sales fell 12.5% to 35,302 vehicles in the April-October 2008 period with buses and medium and heavy truck sales posting maximum decline. The company has cut production to a four-day week in tune with slowing demand.

The company’s proposed new plant at Pantnagar in Uttrakhand had an initial investment outlay of Rs1,200 crore. The plant, which has a capacity to produce 40,000 vehicles a year, has been delayed and is now expected to go on stream next year.

Ashok Leyland has already invested around Rs1,000-1,050 crore at its brownfield operations in Chennai, Hosur, Bhandara and Alwar in Rajasthan. Investment was deferred for the heavy commercial vehicle making units in Chennai and Pantnagar.

We maintain NEUTRAL view on the stock.

Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!

Catch all the Business News, Market News, Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.
More Less
Published: 01 Dec 2008, 09:34 AM IST
Next Story footLogo
Recommended For You
Switch to the Mint app for fast and personalized news - Get App