SML Isuzu shares rallied 4% after reports emerged that Ashok Leyland is in advanced discussions to acquire the promoter stake in the company. According to a Moneycontrol report, negotiations are ongoing between Ashok Leyland and Sumitomo Corporation, the current promoter holding a 44% stake in SML Isuzu as the December quarter.
The combined stakes of Sumitomo and Isuzu are valued at approximately ₹1,350 crore, with Ashok Leyland reportedly offering a 10-15% premium over the last three-month stock price average of SML Isuzu.
Interestingly, Mahindra & Mahindra (M&M) was also reportedly in talks to acquire the promoter stake. CNBC Awaaz earlier revealed that M&M was considering a valuation of ₹1,400-₹1,500 per share, which is lower than SML Isuzu’s current market price.
SML Isuzu shares opened at ₹1,675, reaching a high of ₹1,710 and a low of ₹1,670.05 in today’s trading session. The stock remains well below its 52-week high of ₹2,405 but significantly above its 52-week low of ₹1,028.40.
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