Shipping & logistics penny stock under Rs 40 jumps after acquisition of shares of Bulkliner Logistics Ltd & Allotment of 99,80,357 shares on conversion of unsecured loan

Kiran Shroff
Shipping & logistics penny stock under Rs 40 jumps after acquisition of shares of Bulkliner Logistics Ltd & Allotment of 99,80,357 shares on conversion of unsecured loan

From Rs 0.44 per share to Rs 34.78 per share, the stock gave multibagger returns of 7,800 per cent in a decade.

Lancer Container Lines Ltd. has announced a strategic move to acquire Bulkliner Logistics Limited (BLL), a prominent player in the Indian bulk liquid logistics sector. The acquisition, valued at up to Rs 12.03 crore, will be executed through a combination of cash and share swap. BLL, with its innovative solutions and strong customer base, is poised to significantly enhance Lancer's logistics capabilities. This acquisition aligns with Lancer's growth strategy and will further solidify its position in the industry.

In addition to the acquisition, Lancer Container Lines Ltd. has proposed a preferential issue of up to 99,80,357 equity shares to its promoter group. These shares will be issued in conversion of outstanding unsecured loans amounting to Rs. 41.91 crores. The issue price of Rs. 42 per share is determined by SEBI ICDR Regulations. This move is expected to strengthen the company's capital structure and provide additional financial flexibility for future growth initiatives.

Lancer Container Lines Ltd is in the business of shipping and logistics services in India and abroad. The company has a market cap of Rs 829 crore with a 5-year stock price CAGR of 75 per cent. Additionally, the company reported positive numbers in its Quarterly Results and annual results.

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On Monday, shares of Lancer Containers Lines Ltd gained 5.81 per cent to Rs 34.78 per share from its previous closing of Rs 32.87 per share with an intraday high of Rs 35.70 per share and an intraday low of Rs 32.80 per share. The stock has a 52-week high of Rs 110 per share and a 52-week low of Rs 28.12 per share. The company's shares saw a spurt in volume by more than 2.20 times on BSE.

The shares of the company have an ROE of 20 per cent and a ROCE of 17 per cent. From Rs 0.44 per share to Rs 34.78 per share, the stock gave multibagger returns of 7,800 per cent in a decade. Investors should keep an eye on this Small-Cap stock.

Disclaimer: The article is for informational purposes only and not investment advice.

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