Allcargo Logistics’ promoters propose intention to delist company's shares1 min read . Updated: 24 Aug 2020, 09:49 PM IST
As per Monday’s closing price of ₹109 apiece on the BSE, the promoter will have to spend around ₹803 crore to buy out the entire public shareholding in the company
Mumbai: Logistics-focused company Allcargo Logistics Ltd on Monday said that its promoter group, including Shashi Kiran Shetty and Talentos Entertainment Pvt Ltd, have intimated the company of their plans to delist the company.
Data suggests the members of the promoter group collectively hold 17.2 crore shares aggregating to 70.01% of the paid-up equity share capital of the company, while public shareholders hold 29.99%.
As per Monday’s closing price of ₹109 apiece on the BSE, the promoter will have to spend approximately ₹803 crore to buy out the entire public shareholding in the company.
The company will hold a board meet on 27 August to consider the delisting proposal.
With the plans to go private, Allcargo joins other India corporates such as Vedanta Ltd, Adani Power Ltd and Hexaware Technologies, whose promoters are currently in the process of delisting their companies from the stock exchanges.
In their letter to the company, the promoters of Allcargo said that the proposed delisting will align the group’s capital and operational structures, streamline the process of servicing the groups financing obligations and significantly improve a range of important credit metrics.