Ashok Leyland and Yes Bank signed a MoU (memorandum of understanding) whereby YES Bank will extend retail financing to customers of Ashok Leyland's commercial vehicles.

With this tie-up, Ashok Leyland will be able to leverage the extensive branch network and customer reach of YES Bank and provide more efficient and effective service to its customers.

'We are delighted with this tie up as our customers will greatly benefit from increased options for financing and YES Bank's extensive network and reach,' said Gopal, chief financial officer, Ashok Leyland.

Shares of the company gained Rs 0.35, or 0.92%, to trade at Rs 38.45 at the BSE (11.12 a.m., Thursday).