Tiger Logistics Announces Rs 400 Cr Fundraising Via Preferential Issue To Finance Its Business Growth Plans

Tiger Logistics India Limited, a key international logistics player, publicly listed on the BSE has announced new moves which would influence its growth strategy and " conduit of the industry". Some such developments came into effect recently.

According to a report, Tiger Seasoned nearly 1.5% appreciation in its stock price and closed at Including Tuesday's increase, the stock closed at Rs 79.98 from Rs 79.11 the previous day. The firm has stock returns of 148.51%, which is 360% in a period of 3 years and 1540% in a period of 5 years while the stock has set a 52-week high of Rs 87 and a low of Rs 31.99. The firm has a market valuation of more than Rs 800 crore.

The comprehensive Business Blueprint made available to the Board of Directors puts in context the intended strategies which the firm intends to market target, competitive positioning and growth. This strategic plan sets the company up for previously mentioned aims which are to gain by growth going forward.

The company stated in a stock exchange filing on Monday that it has approved in principle the raising of funds up to Rs. 400 crores through the issuance of equity shares, convertible instruments, or other appropriate securities in one or more tranches through a preferential issue in order to finance the business growth plan.

Moreover, these new instruments will help fund the initiatives mentioned in the Business Blueprint with the final allocation decision anticipated to take place in the next meeting of publications.

In further consolidating its position in the industry Tiger Logistics has continued to renew contracts with international freight companies that include partnerships with key PSUs such as BHEL, BEML and BPNLIPL.

These awards serve to highlight the company's competence in executing sophisticated logistics activities. Earlier this year, Tiger Logistics clinched an important contract for warehousing services with BHEL and completed logistics contracts for AAI and HAL showing its increasing penetration into the government sector.

The financial results point to the company's trajectory of increase in growth. For the quarter ending Q2FY25, the net sales rose by 199 per cent as compared to the previous period to reach 160.17 crores, where net profit increased by 134 per cent to reach 7.54 crores. For the half-year ended H1FY25, net sales jumped to 261.33 crore which is an increase of 173 per cent and net profit surged 124 per cent to reach 12.17 crores. For the financial year ending FY24, the company has reported net sales of 240 crores with a net profit of Rs 13 crores.

In a bid to offer improved service delivery, Tiger Logistics has unveiled FreightJar 2.0 which is the improved version of its proprietary freight management and booking platform. The platform provides customers with an integrated method for import transportation regardless of whether it is a Full Container Load (FCL), Less than Container Load (LCL) or even Air Freighting. From the customer interface standpoint, FreightJar 2.0 allows its users easy operation and powerful features for fast forwarding booking to delivery.

Taking into consideration these strategic aspects, along with the Company's sound financial results and innovative technology, Tiger Logistics looks set to continue its growth cum scalability and remain the key player in the logistics markets.