Board of Allcargo Logistics notes developments related to sale of logistics parks

10 Nov 2022 , 09:36 AM

The Board of Allcargo Logistics at its meeting held on 09 November 2022 has noted developments relating to transaction with Blackstone entities regarding sale of logistics parks: During the year ended 31 March 2020 the Company executed agreements with Malur Logistics and Industrial Parks, Venkatapura Logistics and Industrial Parks (wholly owned subsidiaries (WOS) of the Company) Madanahatti Logistics and Industrial Parks, Allcargo Logistics & Industrial Park , Kalina Warehousing , Panvel Warehousing (together with WOS referred to as ?Blackstone Entities?) and BRE Asia Urban Holdings (?the Investor?) for transfer of controlling stake in the specified companies subject to the satisfaction of closing conditions and achievement of certain milestones as prescribed in the agreements. Subsequent to the quarter ended 30 September 2022, major condition precedent has been fulfilled and the transaction would be consummated with signing of Share Purchase Agreement, which is expected in next 3-4 weeks. Subsequent to this, Optionally Convertible Debentures of Rs 112 crores and Lease Rental Discounting of approx Rs 183 crores sitting in concerned Blackstone entities shall get alienated from the Companys Books. Further, there would be an actual additional cash inflow of approx. Rs 105 crore on closure of the said transaction, thereby reducing the overall debt at Allcargo level by approximately Rs 400 crore. This reduction in debt does not factor in the additional impact of optional assets at Haryana Logistics Park. Powered by Capital Market – Live News