Goldstone Technologies to acquire majority stake in Equitas Technologies; Stock jumps 5%

17 May 2022 , 09:18 AM

The Board of Directors of Goldstone Technologies Ltd at their meeting held on May 16, 2022, have, approved the proposal to acquire substantial stake ranging from 51% to 100% in the equity share capital of Equitas Technologies Private Limited (“ETPL”).

Consequent to the acquisition of up to 100% Equity stake by the company, Equitas Technologies Private Limited will become Subsidiary Company of Goldstone Technologies Limited. Presently, Equitas Holdings Limited (“EHL”) holds 2,50,00,000 (99.62%) equity shares of ETPL. Equitas Holdings Limited is the promoter company of Equitas Small Finance Bank.

As per the filing, Equitas Technologies Private Limited provides tech-based logistics solutions, logistics cargo aggregator and e-commerce platform through mobile/web-based app named “Wowtruck”. On one hand ETPL solves efficient vehicle discovery, booking and delivery process for customers and on other hand it helps in being cost effective to vehicle and fleet owners.

Started operations with intra city last mile delivery solutions and after its success expanded to intercity segment. Among other features, its tech platform allows auto bidding facility and has an algorithm that matches bids with the available vehicles forfleet owners. The platform finds instant solutions for vendors, fleet owners, drivers and customers alike through its full stack tech. ETPL further went on to establish an institutional customer base by further extending its tech offering to give large corporates a seamless integration with their supply chains and existing ERPs. It is one of the few players in India which has both inter and intra city offering which gives it last mile delivery capability.

The acquisition will help the Company in its foray into the e-commerce and fintech space as Equitas Technologies Limited (popularly known as Wow trucks) is an existing aggregator of trucks/logistics provider having substantial presence in Southern India region with 30,000 plus registered users.

Post this acquisition, the Company is planning to introduce electric vehicle fleet into the portal and also providing finance solutions for the fleet owners through tie ups with NBFCs/Financing organisations under one umbrella.

At around 9:20 AM, Goldstone Technologies was trading at Rs56 apiece up by Rs2.65 or 4.97% from its previous closing of Rs53.35 apiece on the BSE.