Ashok Leyland, India's second-biggest commercial vehicle maker, said it would increase its stake in bus maker Optare Plc to 75.1 percent after a re-financing agreement.

It acquired a 26 percent stake in Optare in July last year as part of a long-term alliance.

Shares of Ashok Leyland ended 6 percent lower at 21.6 rupees in a weak Mumbai market on Tuesday.

(Reporting by Nandita Bose)