Stock Under Rs 50: Shipping and Logistics Company Set to Have Its Board Meeting
Prominent player in the shipping and logistics sector, is set to hold its board meeting on November 13, 2024
Lancer Container Lines Ltd., a prominent player in the shipping and logistics sector, is set to hold its board meeting on November 13, 2024. The meeting will focus on issuing and allotting equity shares via preferential issue following the conversion of loans into equity. Important decisions regarding the rights issue and any other business matters will also be discussed.
Company Overview: Global Reach in Shipping and Logistics
Founded in 2011, Lancer Container Lines Ltd. offers a variety of shipping and logistics services both in India and globally. Its service portfolio includes liner services, project freight forwarding, container trading, and portable cabins, catering to clients across several industries.
Global Operations: Serving Key International Markets
Lancer Container Lines operates in over 30 countries, covering regions such as the Indian Subcontinent, Southeast Asia, Europe, and Africa. The company provides a range of services, including containerization, freight forwarding, and project management, to key international destinations.
Clientele and Fleet Expansion: Partnering with Industry Leaders
With an impressive clientele that includes companies like JSW Steel, Kingspan, and Jindal, Lancer Container Lines owns and leases over 22,000 containers. The company aims to expand its fleet to 45,000 TEUs by FY26 to meet growing demand.
Macroeconomic Challenges: Adapting to Market Disruptions
Lancer Container Lines has faced challenges from rising shipping rates, port congestion, and geopolitical tensions. Despite these hurdles, the company improved its EBITDA margin from 8 per cent in FY22 to 14 per cent in FY24, thanks to operational efficiencies and fleet expansion.
Recent Developments: Acquisition and Vessel Expansion Plans
In November 2023, Lancer Container Lines acquired a 60 per cent stake in Transco Logistix Worldwide, enhancing its freight forwarding capabilities. The company is also exploring the acquisition of a new vessel to further strengthen its service offerings.
Debt Management and Fundraising: Strengthening Financial Position
In October 2024, Lancer Container Lines raised Rs. 150 Cr through a rights issue to strengthen its financial position. While its debt rose in FY23, it was significantly reduced in FY24 following the conversion of foreign currency bonds into equity shares.
Stock History: Split and bonus: A Look at Shareholder Benefits
Lancer Container Lines’ shares have undergone a stock split and multiple bonus issues. The most recent stock split in December 2022 reduced the face value from Rs 10 to Rs 5, and three times bonus issue a 2:1 bonus was announced in September 2023, benefiting its shareholders.