Gati gains on plans of strategic investment in start-ups

The stock surged 9% to Rs 118 on the BSE in early morning trade.

Gati has surged 9% to Rs 118 on the BSE in early morning trade after the logistics company said that it is exploring strategies for growth to align with their vision of delivering 1 million packages everyday by 2020.

“The company is exploring the burgeoning start-ups environment, and is looking at strategic investment in start-ups in the logistics sector. The organization has already progressed considerably in engaging with start-ups to make a strategic investment shortly,” Gati said in a statement.

At 09:48 AM, the stock was up 6% at Rs 115 as compared to 0.31% decline in the S&P BSE Sensex. A combined 1.65 million shares changed hands on the counter on the BSE and NSE.

Meanwhile, the stock hit a 52-week low last week to Rs 95  and has fallen 64% from its 52-week high of Rs 264 touched in February last year.

The company had reported 29% year on year dropped in its consolidated net profit at Rs 21.29 crore for the first nine months (April-December) of current financial year 2015-16 as compared to Rs 29.87 crore in the same period last fiscal.