Shreyas Shipping shares zoom 34% in two sessions, here’s why

Shares of Shreyas Shipping & Logistics Ltd zoomed over 34% in the last two trading sessions as the board of the firm would consider delisting of the firm on May 24, 2023. Promoter of the firm Transworld Holdings Limited has expressed its intent to buy all shares from the public and subsequently delist the shares from BSE and NSE by making the offer.

The company, which is the Indian-flagged vessel owning firm of the 45-year old Transworld Group, is engaged in the domestic multimodal transportation sector

Shares of Shreyas Shipping, which closed at Rs 260.50 on May 19 hit an intraday high of Rs 348.85 in trade today, amounting to a rally of 34% or Rs 88.35 this week.

Earlier, Shreyas Shipping stock opened 9.79% higher at Rs 343.20 on BSE. Shreyas Shipping shares have lost 6.73 per cent in one year and gained 6.81 per cent since the beginning of this year. Market cap of Shreyas Shipping rose to Rs 705.72 crore on BSE. Total 0.80 lakh shares of the firm changed hands amounting to a turnover of Rs 2.62 crore.

The stock hit a 52-week low of Rs 212.20 on March 27, 2023 and a 52 week high of Rs 413 on August 25 last year. In terms of technicals, the relative strength index (RSI) of  Shreyas Shipping stock stands at 53.1, signaling it's trading neither in the oversold nor in the overbought zone. The stock has a beta of 1, indicating average volatility in a year. Shreyas Shipping shares are trading higher than the 5 day, 20 day, 50 day, 100 day and 200 day moving averages.

“We wish to inform you that a meeting of the Board of Directors of the Company is being convened on May 24, 2023, to inter alia: a) take on record and review the due diligence report of the peer reviewed company secretary (“Company Secretary”) appointed to carry out the due diligence in accordance with Regulation 10(3) and any other applicable provisions of the Delisting Regulations;

b) consider and approve/ reject the Delisting Proposal after discussing and taking into account various factors and the Company Secretary’s due diligence report; and

c) consider other matters incidental thereto or required in terms of the Delisting Regulations, including seeking shareholders’ approval, as may be required.