Ashok Leyland Limited, a Hinduja Group Company, has increased its stake in its UK subsidiary Optare Plc by 23.20% to 98.31% by conversion of its existing loans into equity.
Vinod Dasari, Managing Director of Ashok Leyland, said: “Optare is well known for its innovative bus designs and this is a reaffirmation of our Group’s continuing commitment to making Optare a premier bus player in the UK.
“In response to anticipated needs in the UK and overseas, Optare will be investing extensively in the next generation of all-electric buses, utilising higher density batteries and delivering much improved range. These are expected to be positioned by early 2018.”
John Fickling, Optare Chairman, said: “The move secures the financial stability of the Company towards long-term growth.”
Optare’s President, Graham Belgum, said he predicts a positive outlook for the UK-based bus manufacturer next year despite challenges in the UK market: “The Metrodecker EV completed trials successfully with First York and First West Yorkshire recently, the first trials of a new fully electric double-decker bus outside London. We are also seeing significant developments in export with orders being secured in Australia and New Zealand, including a major contract for 114 Metrocity buses for a major operator in New Zealand and several tenders under consideration in the Middle East.
“As part of on-going programmes, Optare continues to invest in further innovations in light-weighting to improve the efficiency of both its diesel and electric buses as well as in the development of Euro 6 low carbon technologies.”
