Mumbai, June 17 (IANS) Commercial vehicles manufacturer Ashok Leyland (AL) Tuesday said the company would invest around Rs.30 billion ($714.3 million) in the next three years for its capacity expansion. On the sidelines of an equity analysts’ meet here, AL chief financial officer K. Sreedharan told IANS that the company would invest Rs.14 billion in its Uttarakhand plant to expand its capacity.

The company intends to raise Rs.10 billion through debt and other sources in 2009-10.

“We are yet to take a decision on the mode of raising the fund,” Sreedharan said.

AL plans to increase the production capacity from 84,000 to 184,000 in next three years.

AL managing director R. Seshasayee said despite economic meltdown coupled with steel and oil price hike, commercial vehicle segment had seen a robust growth.

According to him, the demand for buses will go up as many people will depend on public transporting due to high oil prices.

Talking about the company’s joint venture with Nissan, he said light commercial vehicle would start rolling out by 2010.