APSEZ said it would either scarp the deal or re-negotiate the price to buy a 40.25 per cent stake in Snowman Logistics Ltd for Rs 296 crore. “We are re-evaluating the deal looking at the current situation and we want to re-assess what is the impact on cold storage business because of COVID-19,” Karan Adani, Chief Executive Officer and director at APSEZ, said.
“We are re-looking at the industry itself, whether the cold chain business makes sense in the current environment and if it does make sense, then we would be looking at re-negotiating on the price,” Karan stated.
He added that APSEZ will not go ahead with the deal if it didn’t make sense.
A final call on the deal would be taken between October and December this year.
“We have acquired a 26 per cent stake from the market as part of open offer and we have kept on hold the stake of 40.25 per cent that we have to buy from the promoters,” Karan stated.