Shipping Corp spurts on MCA nod for demerger of non-core assets

Shipping Corporation of India (SCI) soared 9.79% to Rs 126.20 after the Ministry of Corporate Affairs (MCA) sanctioned the scheme of arrangement for demerger of non-core assets of the company into Shipping Corporation of India Land and Assets.

Shipping Corporation of India Land and Assets was incorporated on 10 November 2021. It has been incorporated with the object of holding and disposing the non-core assets of SCI distinct from the disinvestment transaction.

The board of directors had approved an affidavit for onward submission to MCA in accordance with the directions of MCA during the 'final hearing' held on 29 December 2022, with regard to the scheme of arrangement for demerger of non-core assets into Shipping Corporation of India Land and Assets.

The Shipping Corporation of India (SCI) is a national carrier, with the Government of India (GoI) holding 63.75% of the equity as on 31 December 2022. SCIL is the largest Indian shipping company in terms of capacity with a diversified fleet profile. The company is diversified in terms of its business segments, namely, crude oil/product tankers, dry bulk, offshore services, and container operations. The company also has a presence in passenger vessels, chemicals and gas transportation.

The company reported 10.27% decline in consolidated net profit to Rs 279.54 crore despite of 4.81% rise in revenue from operations to Rs 1,500.06 crore in Q3 FY23 over Q3 FY22.

Powered by Capital Market - Live News