New Delhi: Hinduja Group flagship Ashok Leyland on Thursday said it will raise Rs 300 crore through issuing non-convertible debentures (NCDs) on private placement basis.
The company’s board in a meeting has “approved the issuance of listed, NCD, with an aggregate amount upto Rs 300 crore with a green-shoe option of Rs 200 crore on private placement basis, in one or more tranches to certain eligible investors permitted to invest in the NCDs,” Ashok Leyland said in a BSE filing.
The nationwide lockdown has impacted the cash flow position of many auto firms. The companies need funds for their business continuity and to meet their other expenses after lockdown.
Many automakers like TVS Motors, Mahindra & Mahindra have taken the debt route to maintain liquidity. TVS Motors raised a sum of Rs 500 crore through allotment of NCDs last month. Similarly, M&M also raised Rs 1000 crore by issuing securities on a private placement basis.
Credit: Source link