Allcargo denies buying stakes in Gati

The exchanges had asked the two companies to clarify if any stake deal is been contemplated between them as published in a leading newspaper which spoke of Allcargo Logistics negotiating a deal to buy a controlling stake in Gati.

In response to a clarification demanded by the exchanges, Allcargo Logistics has refuted the claims made by a leading news daily that the company seeks to buy stakes in Gati. Allcargo Logistics said that the news is rumour-based.

On the other hand, Gati said that as part of the company's growth strategy, Gati is exploring partners for the logistics space. However, the company clarified that right now no deal has been finalised between Allcargo Logistics and Gati. The company added that the company's board of directors held a meeting on August 13, and as per the board's direction, the management is still evaluating opportunities.

Meanwhile, on an upbeat trading day, the stock of both Gati and Allcargo Logistics were trading positive. Gati was trading at Rs. 104.10 per share, up by 1.17 per cent, while Allcargo Logistics was at Rs. 121.80 per share, up by 2.40 per cent at 10:36 hours on Friday. The benchmark index BSE Sensex was at 37,932.90, up by 269.34 points or 0.72 per cent