Hero Honda pledges 5.32% stake with IL&FS

Our Bureau New Delhi | Updated on March 04, 2011 Published on March 04, 2011

Hero Honda Motors Ltd on Friday said, one of its biggest founding companies has pledged a part of its holding to IL&FS Trust Company Ltd as security against the bonds it issued earlier.

Hero Investments Pvt Ltd has pledged about 10.62 million shares in Hero Honda, totalling a 5.32 per cent stake in India's largest two-wheeler maker by sales, Hero Honda said in a statement to the BSE.

The New Delhi-based Hero Group, through 23 affiliates, holds a 26.21 per cent stake in Hero Honda. Hero Investments holds the majority 17.33 per cent of the 26.21 per cent stake held by Hero Group.

Hero Investments didn't disclose the size of the bonds or a time frame for when they were to be issued, but they were likely to be issued as part of the plan of Hero Group to buy out Japan's Honda Motor Co's (HMC) 26 per cent stake in Hero Honda.

Hero Group had in December agreed to buy Honda's 26 per cent stake in the auto maker for an undisclosed amount through two or more group companies.

On Friday, the shares of Hero Honda rose 2.15 per cent to close at Rs 1,534.45 on the BSE.

Published on March 04, 2011

A letter from the Editor

Dear Readers,

The coronavirus crisis has changed the world completely in the last few months. All of us have been locked into our homes, economic activity has come to a near standstill. Everyone has been impacted.

Including your favourite business and financial newspaper. Our printing and distribution chains have been severely disrupted across the country, leaving readers without access to newspapers. Newspaper delivery agents have also been unable to service their customers because of multiple restrictions.

In these difficult times, we, at BusinessLine have been working continuously every day so that you are informed about all the developments – whether on the pandemic, on policy responses, or the impact on the world of business and finance. Our team has been working round the clock to keep track of developments so that you – the reader – gets accurate information and actionable insights so that you can protect your jobs, businesses, finances and investments.

We are trying our best to ensure the newspaper reaches your hands every day. We have also ensured that even if your paper is not delivered, you can access BusinessLine in the e-paper format – just as it appears in print. Our website and apps too, are updated every minute, so that you can access the information you want anywhere, anytime.

But all this comes at a heavy cost. As you are aware, the lockdowns have wiped out almost all our entire revenue stream. Sustaining our quality journalism has become extremely challenging. That we have managed so far is thanks to your support. I thank all our subscribers – print and digital – for your support.

I appeal to all or readers to help us navigate these challenging times and help sustain one of the truly independent and credible voices in the world of Indian journalism. Doing so is easy. You can help us enormously simply by subscribing to our digital or e-paper editions. We offer several affordable subscription plans for our website, which includes Portfolio, our investment advisory section that offers rich investment advice from our highly qualified, in-house Research Bureau, the only such team in the Indian newspaper industry.

A little help from you can make a huge difference to the cause of quality journalism!

Support Quality Journalism
This article is closed for comments.
Please Email the Editor
You have read 1 out of 3 free articles for this week. For full access, please subscribe and get unlimited access to all sections.