The proposed investment in TLPL would not be a related party transaction for the company. The promoter/ promoter group/ group companies of the company have no interest in TLPL, the company said in the filing.
The proposed investment in TLPL, which has built a technology platform, is expected to bring operational efficiencies in SCM function of the company.
Further, it would also provide opportunities to the company to offer technology solutions to its customers and business partners. This is part of the larger end-to-end digitization plan for the company.
This investment will help TLPL in developing more product features and strengthening the organization.
The company would make aggregate investment of upto Rs7cr in TLPL through subscription to its shares.
The company would acquire up to 115,554 Compulsory Convertible Preference shares and 100 equity shares.
Mahindra Logistics Ltd is currently trading at Rs560.75 up by Rs3.25 or 0.58% from its previous closing of Rs557.50 on the BSE.
The scrip opened at Rs557.85 and has touched a high and low of Rs560.75 and Rs557 respectively.