 "Ashok Leyland mobilise Rs 210 cr by selling land")
Ashok Leyland Ltd has completed the sale of the residual section of one of its residential properties at Chennai as part of its strategy to sell non-core assets.
The sale of the entire property was completed, for a total consideration of Rs 210 crore, the proceeds of which has since been received by the company fully, according to company's announcement to BSE.
The company sold the property which was located at Chennai.
The commercial vehicle major has been selling its non-core assets as part of its debt restructuring programme. Last year, the company reduced debt by around Rs 1,400 crore.
Ashok Leyland mobilised around Rs 600 crore last year by selling its non-core assets including some of the land portion, which it had in Chennai in other states. By selling lands alone, Ashok Leyland mobilised around Rs 200 crore and the balance through diluting stakes in IndusInd Bank, Defiance Testing & Engineering Services and others.
In August last year, the company said Debt to Equity from 2.2:1 and in 2-3 years want to reduce further it to 1:1 and the company is very close 1.1-1.2:1 and in a month or two, earlier the company said.
Last year company's debt was at the peak of around Rs 6,200 crore and it was brought down to around Rs 4,500 crore in the first quarter of the current fiscal.