Hinduja Group flagship company Ashok Leyland will raise over Rs 635 crore through placement of shares to qualified institutional buyers.
The company in a filing to the BSE said its Fund Raising Committee at its meeting held today fixed the floor price at Rs 34.30 per equity share.
The shareholders of the company at the AGM held on July 16, 2013 had approved qualified institutional placement (QIP) of 1,852 lakh equity shares of face value of Re 1 each, it added.
It further said the committee also approved opening the issue on June 26, 2014.
Ashok Leyaland's board had approved the fund raising on May 10, 2013 and had got shareholders approval on July 16, 2013.
Shares of Ashok Leyland closed at Rs 37.90 apiece at BSE, down 0.52 per cent from previous close.
