Ahmedabad (Gujarat) [India], July 24: Seacoast Shipping Services Limited, a leading single-window logistics services provider headquartered in Ahmedabad, is providing an opportunity for both existing and non-existing shareholders to participate in the company’s growth by applying for shares in its ongoing Rights Issue.
The Rights Issue of 20,20,05,000 fully paid-up equity shares commenced on July 21 and will remain open for subscription until August 2. Shareholders holding shares in the company on the record date of July 13 are entitled to three rights shares for every five shares held by them. Eligible shareholders can subscribe to the shares at Rs. 2.40 per share, which includes a premium of Rs. 1.40 per share.
Rights Issues are primarily targeted at existing shareholders, allowing them to apply for additional fully paid-up equity shares based on the entitlement ratio. However, even individuals who do not currently hold any shares of Seacoast Shipping Services can apply for shares in the Rights Issue by purchasing Rights Entitlement through on or off-market renunciation from existing shareholders. Such shareholders will be eligible to apply for the shares under the Rights Issue to the extent of Rights Entitlement available in their demat account before the issue concludes. They will be required to apply for shares offered under the Rights Issue before the issue closes.
The process for buying the Rights Entitlement and becoming eligible to apply for the Rights shares is the same as buying shares through a registered stock broker. The Rights Entitlements are issued in dematerialised form under a separate ISIN created by the Company and can only be transferred in dematerialised form.
However, interested shareholders must also bear in mind that the Rights Entitlements will lapse if no application is made by them on or before the issue closing date. They may also note that as per rules, no shares or securities for lapsed Rights Entitlements will be credited and the purchaser will lose the premium paid to acquire the Rights Entitlements.
Seacoast Shipping Services reported excellent financial numbers in the first quarter of FY 2023-24 further. The company’s Profit After Tax (PAT) was up by 65% on a year-on-year basis and by 80% on a quarter-on-quarter basis. The PAT in the latest quarter was Rs. 4.98 crore as compared to Rs. 3.01 crore in the corresponding quarter of the previous fiscal and Rs. 2.76 crore in the January-March quarter.
The company’s revenue for the latest quarter was Rs. 99.72 crore, a 7% increase from the first quarter of the previous financial year. The net profit margin also surged, more than doubling from 2.4% to 5% on a quarter-on-quarter basis.
A comprehensive FAQ as per SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018 can be accessed through the following link: https://seacoastshipping.co.in/faq/
