Ashok Leyland shares jump 6% on Hinduja Leyland merger; check target prices
Ashok Leyland has been a consistent wealth creator for investors this year, with the counter gaining over 50 per cent in 2025 so far.
- Nov 27, 2025,
- Updated Nov 27, 2025 1:29 PM IST
Shares of Ashok Leyland Ltd climbed 6 per cent in Thursday’s trade after its material subsidiary, Hinduja Leyland Finance Limited, approved a scheme of merger by absorption with NDL Ventures Limited.
The board of directors of HLF approved the scheme on November 25, 2025. Following the announcement, the stock witnessed strong buying interest, notably outperforming the broader sector.
The scrip rose as much as 6.4 per cent to touch an intraday high of Rs 158.50 on the BSE, compared to the previous close of Rs 148.95. At the last check, the stock was trading 6.11 per cent higher at Rs 158.05. This bullish momentum comes even as the broader market remained muted, with the BSE Auto index trading 0.25 per cent lower at 61,452.19.
Ashok Leyland has been a consistent wealth creator for investors this year, with the counter gaining over 50 per cent in 2025 so far.
According to the regulatory filing, the merger aims to consolidate the business of financing commercial and personal vehicles under a listed entity.
NDL Ventures Limited will issue and allot 25 fully paid-up equity shares (face value Rs 10 each) for every 10 fully paid-up equity shares (face value Rs 10 each) held in Hinduja Leyland Finance Limited, the company said in its exchange filing.
The ‘Appointed Date’ for the merger is slated for April 01, 2026, subject to approvals from the National Company Law Tribunal (NCLT) and other regulatory authorities.
For the financial year ended March 31, 2025, Hinduja Leyland Finance reported a total income from operations of Rs 4,473.33 crore and a net worth of Rs 7,299.23 crore, it said.
In a note dated November 19, brokerage firm Deven Choksey revised its rating on the stock from ‘Buy’ to ‘Accumulate’, setting a target price of Rs 156. Similarly, ICICI Direct maintained a 'Hold' rating on the stock with a target price of Rs 165 in its November 15 note.
Shares of Ashok Leyland Ltd climbed 6 per cent in Thursday’s trade after its material subsidiary, Hinduja Leyland Finance Limited, approved a scheme of merger by absorption with NDL Ventures Limited.
The board of directors of HLF approved the scheme on November 25, 2025. Following the announcement, the stock witnessed strong buying interest, notably outperforming the broader sector.
The scrip rose as much as 6.4 per cent to touch an intraday high of Rs 158.50 on the BSE, compared to the previous close of Rs 148.95. At the last check, the stock was trading 6.11 per cent higher at Rs 158.05. This bullish momentum comes even as the broader market remained muted, with the BSE Auto index trading 0.25 per cent lower at 61,452.19.
Ashok Leyland has been a consistent wealth creator for investors this year, with the counter gaining over 50 per cent in 2025 so far.
According to the regulatory filing, the merger aims to consolidate the business of financing commercial and personal vehicles under a listed entity.
NDL Ventures Limited will issue and allot 25 fully paid-up equity shares (face value Rs 10 each) for every 10 fully paid-up equity shares (face value Rs 10 each) held in Hinduja Leyland Finance Limited, the company said in its exchange filing.
The ‘Appointed Date’ for the merger is slated for April 01, 2026, subject to approvals from the National Company Law Tribunal (NCLT) and other regulatory authorities.
For the financial year ended March 31, 2025, Hinduja Leyland Finance reported a total income from operations of Rs 4,473.33 crore and a net worth of Rs 7,299.23 crore, it said.
In a note dated November 19, brokerage firm Deven Choksey revised its rating on the stock from ‘Buy’ to ‘Accumulate’, setting a target price of Rs 156. Similarly, ICICI Direct maintained a 'Hold' rating on the stock with a target price of Rs 165 in its November 15 note.