Shares of Gateway Distriparks extended rally for the third straight session on Monday, surging over 14 per cent in intraday on the Bombay Stock Exchange (BSE), after the company announced to sell its entire stake sale in Snowman Logistics to Adani Logistics for around Rs 296 crore. In the last three trading sessions, the stock of the logistics major has climbed 31.22 per cent.
On Friday, Gautam Adani-led Adani Ports and SEZ (APSEZ) entered into a share purchase agreement with Gateway Distriparks to acquire its 40.25 per cent in Snowman Logistics. The company made the acquisition through its wholly-owned subsidiary, Adani Logistics.
Cheering the news, Gateway Distriparks share price rallied 14.48 per cent in intraday trade to hit an intraday high of Rs 125.65 after opening higher at Rs 113.75. The stock closed Monday's trade at Rs 122.40, up 11.53 per cent. The stock hit a 52-week high of Rs 154.10 on 28 April, 2019 and 52-week low of Rs 81.15 on 15 November, 2019. In contrast, the BSE Sensex ended 17 points, or 0.04 per cent, lower at 41,558.
As per data available with BSE, as much as 2.21 lakh shares changed hands over the counter as compared to two week average volume of 0.10 lakh shares.
On the National Stock Exchange (NSE), Gateway Distriparks shares ended 11.45 per cent higher at Rs 122.15 apiece. The scrip hit an intraday high of Rs 125.55 against previous closing price of Rs 113.70.
The price of the deal was Rs 44 per share of Snowman Logistics, a 3.2 per cent premium to the market price of December 27, and a 12 per cent premium to the 60-day volume-weighted average price (VWAP). On December 27, shares of Snowman Logistics closed trade at Rs 42.65 apiece, up 4.28 per cent, on the BSE.
Extending rally, Snowman Logistics shares settled Monday's trade at Rs 43.40, up 1.76 per cent. During the day's trade, the stock hit a high of Rs 45.80 after opening higher at Rs 44.
In a similar trend, shares of Adani Ports and Special Economic Zone (SEZ) gained nearly 2 per cent in intraday trade on the BSE. The stock ended trade at Rs 365.70 apiece, up 0.56 per cent on the BSE.
As part of the transaction, Adani Logistics will make a mandatory open offer for a maximum 26 per cent of the public shareholding in Snowman Logistics, subject to requisite approval. The deal is expected to close by March 31, 2020. With this transaction, Adani has entered into cold chain logistics and warehousing business. It will also give the company platform to double its capacity in the next five years.
By Chitranjan Kumar
Copyright©2021 Living Media India Limited. For reprint rights: Syndications Today