Gateway: Rights issue subscribed

The ₹116-crore rights issue of Gateway Distriparks has been subscribed by 1.27 times. The intermodal logistics service provider launched its rights issue between July 30 and August 13 at ₹72 a share. The company received bids for 2.05 crore shares, as against an offer of 1.61 crore shares. The company had fixed rights entitlement ratio of 4:27, i.e. four shares for every 27 existing shares held by shareholders as on July 24 (record date). The fresh capital raise is primarily for repayment of debt and once this is done, the debt of the company will be significantly reduced to twice its EBITDA. Shares of Gateway Distriparks closed 1.2 per cent higher at ₹83.40 on the BSE.