Logistics sector gets moving as lockdown eases
Stocks of major logistics companies have risen in September as economic activity in most parts of the country inches back to normal. Recently, Blue Dart announced a 9.6% hike in its average shipping price, effective 1 January 2021. One could expect other players to follow suit. Shares of Blue Dart, Gati, Snowman and TCI have gained nearly 45%, 18%, 13% and 10%, respectively, in September. The revival in the logistics sector could be an indication of a pick-up in the entire supply chain.
Vedanta delisting approved; dividend questions raised
Vedanta has received an in-principle approval from the NSE and BSE for its delisting. Vedanta Resources (VRL), which owns 50.1% of Vedanta, plans to buy out the remaining 49.9% shares held by the public. Amid this development, questions are being raised by corporate governance experts regarding the non-distribution of the ₹4,500 crore dividend that Vedanta received from Hindustan Zinc, in which it has a 65% stake. This is contrary to the company’s dividend distribution policy, which mentions that normal dividend received from Hindustan Zinc shall be entirely passed on to its shareholders. Today, shares of Vedanta and Hindustan Zinc were down 2.1% and 1.0%, respectively.
Logistics sector gets moving as lockdown eases
Stocks of major logistics companies have risen in September as economic activity in most parts of the country inches back to normal. Recently, Blue Dart announced a 9.6% hike in its average shipping price, effective 1 January 2021. One could expect other players to follow suit. Shares of Blue Dart, Gati, Snowman and TCI have gained nearly 45%, 18%, 13% and 10%, respectively, in September. The revival in the logistics sector could be an indication of a pick-up in the entire supply chain.