Allcargo Logistics soars 9 per cent on voluntary delisting from bourses

The proposed delisting will align the Group's capital and operational structures, streamline the process of servicing the Group's financing obligations and significantly, improve a range of important credit metrics.

The promoters of Allcargo Logistics namely, Shashi Kiran Shetty, Talentos Entertainment Private Limited and Avashya Holdings Private Limited have expressed their intention to acquire all the equity shares held by public shareholders and consequently, voluntarily delist the equity shares from the stock exchanges by making a delisting offer in accordance with the delisting regulations.  

Currently, Founder & Chairman of Allcargo Logistics, Shashi Kiran Shetty holds 15,25,19,341 equity shares, aggregating to 62.08 per cent of the paid-up equity share capital of the company. The aggregate shareholding of the promoter group (including the acquirers) is 17,20,22,209 equity shares, aggregating to 70.01 per cent of the paid-up equity share capital of the company.   

The proposed delisting will align the Group's capital and operational structures, streamline the process of servicing the Group's financing obligations and significantly, improve a range of important credit metrics. As a result, the transaction is expected to support an accelerated debt reduction programme in the medium-term and, in turn, support the Group's highly attractive longer-term growth pipeline.   

The proposed delisting is in the interest of the public shareholders as it will provide them an opportunity to exit from the company at a price determined in accordance with the Delisting Regulations, providing immediate liquidity, given the heightened market volatility.  

The share price of Allcargo Logistics hit a fresh 52-week high of Rs 171.10 on BSE.