Ashok Leyland to sell overseas companies, halts Stile production

Written by | November 9, 2014 | 0
Chennai: Commercial vehicles maker Ashok Leyland Ltd has set in motion the process of selling two of its overseas companies -Albonair GmbH and Avia – as a part of its decision to exit non-core areas, said a senior company official here Friday.

He said the company has halted production of its multi-purpose vehicle (MPV) Stile in order to liquidate the existing inventory.

“We have decided to sell Albonair and Avia. We are interested in selling them to the right buyer,” Gopal Mahadevan, chief financial officer, told reporters.

Queried about the company`s plans to take out its investments in various joint ventures he said the first step would be to look at the product portfolio rejig and later decide accordingly without making any major capital infusion.

The German company Albonair is in vehicle emission control business while Avia is a bus making company based in the Czech Republic.

Ashok Leyland had decided to stop production at Avia`s plant in Prague last year.

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