MUMBAI: Allcargo Logistics has informed the stock exchange its promoters plan to delist the equity shares of the company, a move it says will help it improve credit metrics, improve financing of debt obligations, give operational flexibility, exploring new financial structures and cutting compliance costs.
The proposal will be made to the company’s board on August 27, the company said in a filing to the exchanges.
“In the Delisting Proposal Letter, Shashi Kiran Shetty and TEPL expressed their intention to, either individually/ collectively or together with other members of the Promoter Group, as the case may be, a.acquire all the fully paid-up equity shares of the Company, each equity share having a face value of INR 2/-…”
“As of the date, the members of the Promoter Group collectively hold 17,20,22,209 Equity Shares aggregating to 70.01% of the paid-up equity share capital of the Company. The Public Shareholders hold 7,36,73,315 Equity Shares aggregating to 29.99% of the paid-up equity share capital of the Company,” the letter said.
Allcargo shares closed at Rs 109 on Tuesday, up 1.25% from the previous day’s close.