Allcargo Acquires Nearly 13% Stake In Gati
It said that the firm is well on track to complete the process to acquire 44.5 percent stake in Gati.
"In line with the approval by Gati's shareholders at the EGM (extraordinary general meeting) on the Jan. 7, 2020, the board of Gati today (on Tuesday) allotted 1.33 crore shares at Rs 75 apiece to Allcargo by way of preferential allotment," Allcargo said in a statement.
As part of this preferential allotment process, Allcargo has already infused Rs 100 crore into Gati, it said. The preferential allotment, it said, would result in Allcargo acquiring 10.91 percent stake in Gati. Allcargo had acquired 27 lakh shares in Gati in the previous week through open market purchases.
"After these transactions, Allcargo owns close to 13 percent stake in Gati, which makes it the single-largest shareholder of Gati. Hundred percent of the capital required to fund the open offer (Rs 238 crore) has been deposited into an escrow account set up as per SEBI norms, for open offer transaction," the statement said.
Allcargo said it is confident of closing this transaction as per regulatory norms and process of law and with due consideration to compliance and governance.