It added that Switch UK has no plans to exit the UK market. The firm also said that they will execute and complete all the orders on hand and would continue to provide aftermarket and service support from two other facilities in Rotherham and Thurrock.
Switch Mobility UK contributed 0.60% of Ashok Leyland’s consolidated turnover in the last financial year. The timeline for the potential closure remains uncertain as it is subject to internal and external approvals.
Ashok Leyland reportedly said it does not plan to pump in more money into Switch UK, which posted a loss of around 20 million pounds to 21 million pounds ($26 million to $27 million) this year.
Ashok Leyland has also denied reports that it is in talks to acquire a controlling stake in commercial vehicle firm SML Isuzu Ltd. “Ashok Leyland would like to outrightly deny this news as factually incorrect,” the company said in an exchange filing on Wednesday, March 26.