ASHOKLEYNSEAshok Leyland Limited· Automobiles - 4 WheelersHighPositive
Announced Wed, 4 Jun · 12:05 IST

Ashok Leyland Limited has informed the Exchange regarding Notice of Postal Ballot

Bonus Above 1to1Corporate Actions View source PDF

ASHOKLEY · price

Loading chart…

▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.

Price reaction · full curve

Awaiting price reaction for this filing.

AI summary

Ashok Leyland has issued a Postal Ballot Notice dated May 30, 2025 seeking shareholder approval through e-voting for 7 items. The key proposal is the issuance of bonus equity shares in a 1:1 ratio (one bonus share for every one existing share of ₹1 face value), capitalizing up to ₹293.65 crores from free reserves, securities premium, and/or capital redemption reserve. The Board approved this on May 23, 2025. Other items include approval of material related party transactions with TVS Trucks and Buses, AML Motors, Switch Mobility Automotive, OHM Global Mobility, and TVS Vehicle Mobility Solution for FY 2025-26 and FY 2026-27, each exceeding ₹1,000 crores or 10% of consolidated turnover. Additionally, shareholders are asked to ratify cost auditor remuneration of ₹9 lakhs to Geeyes & Co. for FY ending March 31, 2025.

Likely market impact

If approved, existing shareholders will receive one additional share for every share held, effectively doubling their share count — the stock price typically adjusts downward by roughly half on the ex-date, with no change in total holding value. The 1:1 bonus signals strong free reserves and management's confidence in rewarding shareholders. Related party transactions are largely recurring business with group entities and require shareholder approval only because they cross SEBI thresholds.