Shares of Ashok Leyland Ltd rose nearly 5% in Thursday’s morning trade on the National Stock Exchange, taking the stock to a new 52-week high. 161.60 each. This is on a day when the broader markets were weak and the benchmark Nifty 50 index declined marginally.
excitement all around Ashok Leyland The news comes on the basis of reports that the company’s UAE distribution partners – Swaidan Trading – Al Naboodah Group – have received orders for 1,400 school buses in the country. The total fleet deal is worth AED 276 million or $75.15 million.
The order includes 55 seater Falcon bus and 32 seater Oyster bus. The company said that most of the buses will be supplied to Emirates Transport and STS Group. The products will be manufactured at the UAE Assembly Plant. Ashok Leyland has a $50 million state-of-the-art manufacturing facility in Ras Al Khaimah, United Arab Emirates. It is the only certified local bus manufacturing facility in the entire Gulf Cooperation Council area.
The plant, which has an installed annual capacity of 4,000 buses, is a joint venture between Ashok Leyland and Ras Al Khaimah Investment Authority, United Arab Emirates.
Management said factors such as the lowest total cost of ownership and strong after-sales support differentiate them and help the company win orders. In FY22, Ashok Leyland sold 7,799 units in the medium and heavy commercial vehicle bus segment.
In addition, the automaker plans to expand its portfolio in the light commercial vehicle segment.
Meanwhile, Ashok Leyland is all set to announce its August sale editions today. Analysts at Motilal Oswal Financial Services expect the automaker to report sales of 14,198 units. This represents year-over-year growth of approximately 52% and sequential growth of 4.2%
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