Ashok Leyland shares tank 10.5% after resignation of CEO and MD Vinod K Dasari; market cap declines by Rs 3,654 cr
Ashok Leyland shares tumbled 10.46 percent to end at Rs 106.60 on BSE. Intra-day, it dropped 11.12 percent to Rs 105.80
New Delhi: Shares of Ashok Leyland on Wednesday tumbled 10.5 percent after the company announced the resignation of its CEO and MD Vinod K Dasari with effect from 31 March, 2019.
The stock tumbled 10.46 percent to end at Rs 106.60 on BSE. Intra-day, it dropped 11.12 percent to Rs 105.80.
On NSE, shares of the company plummeted 10.42 percent to close at Rs 106.60.
The company's market valuation also declined by Rs 3,654.28 crore to Rs 31,292.72 crore on BSE.
On the equity volume front, 83.53 lakh shares of the company were traded on BSE and more than 9 crore shares changed hands at on during the day.
"After a successful stint of almost 14 years with Ashok Leyland, first as a Chief Operating Officer (COO) and then as CEO and MD, Vinod K Dasari has decided to pursue his personal interests and seek new learning. Respecting his personal decision, the board in its meeting accepted his resignation," Ashok Leyland had said.
Ashok Leyland on Tuesday reported 37.49 percent jump in standalone net profit at Rs 459.57 crore for the September quarter fuelled by higher revenue.
The company had posted a net profit of Rs 334.25 crore during the same period of the previous fiscal, Ashok Leyland said in a stock exchange filing.
The court order is likely to impact the commercial vehicles segment the most
Commercial vehicle major Ashok Leyland and SUN Mobility have entered into a strategic alliance to develop electric buses, said officials of the two companies here on Tuesday.
In a statement issued here, Ashok Leyland said under the agreement, it will utilise Hino's engine technology for Euro-VI development.