Board at its meeting held on even date has approved for acquisition of equity stake not less than 51% of the expanded capital of Jujhar Logistic and Travels Limited by way of cash consideration
Price
▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
Awaiting price reaction for this filing.
CDG Petchem's board has approved acquiring not less than 51% of the expanded capital of Jujhar Logistic and Travels Limited (JLTL) for cash, making it a subsidiary of the company. JLTL is a Punjab-based car logistics and carrier company with a turnover of ₹113.85 crore as of February 2025, a major jump from ₹12.48 crore in FY24. The board also cleared a preferential issue of up to 61,58,000 equity shares at ₹41 per share (totalling around ₹25.25 crore) to proposed promoter and non-promoter investors, and 7,64,500 convertible warrants at ₹41 each (around ₹3.13 crore). Authorised share capital will be doubled from ₹5 crore to ₹10 crore, with a corresponding alteration to the MoA. An EGM is scheduled for May 7, 2025, and the acquisition is expected to be completed within six months.
This is a significant diversification move for CDG Petchem into the transport and logistics sector, which is outside its current petchem business. Existing shareholders should note equity dilution from the preferential issue at ₹41 per share, and the likely open offer obligation triggered by the acquisition of over 25% control in a listed entity. The acquisition, if completed, could substantially boost consolidated revenues given JLTL's ₹113.85 crore turnover.