Tanglin Retail Realty Developments Pvt Ltd, a group company of Coffee Day Resorts Pvt Ltd (CDRL), has cut its stake by selling 2.51 per cent stake in Sical Logistics Ltd to meet the listing norm that requires a minimum 25 per cent public float. Tanglin sold the shares for Rs 10 crore earlier this month.
The promoter group of Sical, which includes the AC Muthiah Group and V.G. Siddhartha’s Coffee Day Group, holds 79.26 per cent stake in the company. The current transaction will bring it down to 76.75 per cent while Tanglin’s stake will be reduced from 57.08 per cent to 54.57 per cent. The promoter group is likely to cut its stake more, bringing it down to 75 per cent.
“Sale of shares took place in order to comply with Clause 40A of the listing agreement in accordance with the approvals received from the NSE and the BSE dated 27th September, 2011, and 28th September, 2011, respectively,” Sical stated in a filing.
Last year, the Coffee Day Group entered into an agreement with the AC Muthiah Group to pick around 29.2 per cent stake through a preferential allotment for Rs 121 crore. It later picked up additional shares from the AC Muthiah Group and the subsequent open offer, which was made at Rs 79.50 per share. The current sale was done at Rs 71 per share while the share price of the company closed at Rs 71.45, down 0.21 per cent on Wednesday.
Sical provides integrated multimodal logistics services and its main activities include stevedoring, port handling, shipping agency, CHA, trucking and terminal management. The company reported a net profit of Rs 26.36 crore, with revenues of Rs 537.23 crore, for the year ended March 2010.
The company, through its subsidiaries, operates container trains, has CFS for container handling and is in the process of developing an exclusive iron ore terminal at Ennore Port. It has also been awarded the contract of mechanisation of the iron ore handling facility at the deep draft berth of the New Mangalore Port.
In 2010, KKR, Standard Chartered Private Equity and New Silk Route Partners invested Rs 960 crore or $200 million in Coffee Day Resorts, majority owner of India’s largest cafe chain Café Coffee Day. Besides expanding into logistics, the group has also forayed into furniture business under the brand Daffco.