Companies

Ashok Leyland buys Nissan’s 38% stake in Hinduja Tech for ₹70 crore

Our Bureau Chennai | Updated on February 25, 2021

Ashok Leyland has entered into a share purchase agreement with Nissan International Holding BV to buy the latter’s 38 per cent stake in Hinduja Tech Ltd (HTL) for about ₹70 crore.

The move will make Hinduja Tech Ltd (formerly known as Defiance Technologies), engaged in IT and IT enabled services, a subsidiary of Ashok Leyland.

Ashok Leyland owns 62 per cent in the paid-up share capital of HTL and the remaining is held by Nissan International Holding BV, a Dutch investment arm of Japanese automaker Nissan.

The truck and bus-maker has proposed to buy 58,500,000 shares held by Nissan International Holding BV for a total consideration of ₹70,20,00,000 constituting 38 per cent in the paid-up share capital of HTL, Ashok Leyland said in a communiqué to stock exchanges.

In 2019-20, HTL revenue stood at ₹226.16 crore in 2019-10 as compared to ₹210.19 crore in the previous year. The company generated a profit of ₹15.95 crore in FY20 as against ₹14.30 crore in the previous year.

In November 2014, Nissan International Holdings came as a strategic investor by taking 38 per cent stake in in Hinduja Tech.

In September 2016, Ashok Leyland and Nissan announced that they had reached a new arrangement in which Nissan would transfer its ownership in the three JVs to Ashok Leyland.

Published on February 25, 2021

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