Gateway-distriparks’ merger gets green signal from NCLT
Logistics facilitator Gateway Distriparks Limited today said that the Mumbai bench of National Company Law Tribunal (NCLT) has approved its petition pertaining to a scheme of amalgamation with two of its subsidiaries-gateway East India Private Limited and Gateway Rail Freight Limited.
The company's petition was listed for final hearing before NCLT on 2 December 2021.
Gateway Distriparks Limited is now awaiting the certified copy of the NCLT order and will intimate the stock exchanges upon receipt of the same, it said via BSE filing.
Shares of Gateway Distriparks Limited ended at ~270 per share on
BSE today, flat from Thursday’s close. Gateway East India Private Limited is the wholly-owned subsidiary of Gateway Distriparks. Gateway Distriparks has 99.93 percent stake in Gateway Rail Freight Limited.
While the group reorganisation is likely to result in the efficient management of the two subsidiaries, India Ratings considers the event to be credit neutral for both the companies, said the agency in its recent report.
In September 2020, Gateway Distriparks Limited announced a composite scheme of reverse merger to derive operational synergies and cost efficiencies and improve the cash flow fungibility between the company and its subsidiaries.
Gateway Distriparks, through Gateway Rail Freight Limited, continues to be India’s leading private sector rail operator and industry player in terms of revenue and volumes, next only to Container Corporation of India, said India Ratings.