The company also plans to spend a part of the investment for engine development. It is developing six cylinder and four cylinder engines with Austrian firm AVL complying with the Euro IV norms.
"The company will be investing Rs 3,000 crore on the new vehicle plant coming up in Uttarakhand, which will be capable of rolling out 50,000 vehicles and expansion of manufacturing facility at Ennore and the new engine development project," Ashok Leyland Chief Financial Officer K Sridharan said on the sidelines of CFO Asia Summit here.
He said Rs 1,000-1,500 crore would be raised through internal accruals, while close to Rs 800 crore would be raised from outside, possibly from overseas market.
The company had also raised $200 million through external commercial borrowings of which $20 million have already been drawn while remaining amount is yet to be drawn from the market, he added.
Meanwhile, the commercial vehicle major expressed doubts over its bid acquire French auto component major Valeo citing "complexities".
"We are still considering it (acquiring Valeo) but we are not very sure whether we will be able to close it or not," Sridharan said.
"I am not putting any hopes on that deal. Ashok Leyland is a complete commercial vehicles manufacturer and I don't think it will be possible to shift the focus to an auto component maker," he said.
