Gateway okays acquisition of Blackstone stake in arm; stock up 20%

Gateway Distriparks is locked in upper circuit of 20% at Rs 199 on the BSE after the company said its board approved the acquisition of entire shareholding held by Blackstone in Compulsorily Convertible Preference Shares (CCPS) and equity shares in Gateway Rail Freight for a total consideration of Rs 8.10 billion.

The acquisition of entire shareholding will take Gateway Distriparks holding in Gateway Rail Freight to 99.80%.

The acquisition is to be completed within a period of 90 days, subject to statutory and regulatory approvals as may be required, Gateway Distriparks said in a BSE filing.

Till 01:59 pm; a combined 1.33 million shares changed hands and there were pending 21,296 shares on the BSE and NSE.