Moneycontrol News
Shares of Mahindra Logistics added 4.7 percent intraday Friday as company acquired stake in Transtech Logistics through subscription to its shares.
The board of directors of the company at their meeting held on August 29, 2018, approved an investment of an amount upto Rs 7 crore in Transtech Logistics through subscription to its shares.
The company would acquire up to 1,15,554 compulsory convertible preference shares and 100 equity shares.
The said acquisition would get completed by August 31, 2020.
In the said meeting board approved further investment in Lords Freight (India) by way of an additional purchase of 2,39,220 equity shares from the existing shareholders of Lords.
Lords Freight is a subsidiary of the Mahindra Logistics and on completion of above purchase, the company’s holding in Lords will increase to 78.81 percent.
The objective of purchase is to further consolidate shareholding of the company in Lords and purchase of shares is not a related party transaction for the company.
The consideration payable in cash for purchase of shares would be Rs 1.84 crore and will get completed by October 31, 2018.
At 09:42 hrs Mahindra Logistics was quoting at Rs 588, up Rs 12.80, or 2.23 percent on the BSE.
Posted by Rakesh Patil
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
