BlackBuck receives Rs 28.6 lakh tax demand; seeks name change from Zinka Logistics
Logistics player BlackBuck has received a Rs 28.55 lakh tax demand for FY18 for non-deduction of tax at source on certain expenses.
Zinka Logistics Solutions, which operates trucking platform BlackBuck, has received a tax demand order of ₹28.55 lakh from the Assistant Commissioner of Income Tax (TDS), Bengaluru, for FY18.
The order, received on July 7, cites non-deduction of tax at source on certain expenses flagged in the company’s tax audit, according to an exchange filing.
The company said it plans to appeal the order, and added that it does not expect any material financial impact.
Meanwhile, in a separate development, BlackBuck has initiated a postal ballot process seeking shareholder approval for key changes. including renaming the company to 'BlackBuck Limited', aligning with its branding strategy. It is also seeking to ratify its 2016 and 2019 ESOPs (employee stock option plans) in line with SEBI’s 2021 regulations.
These developments come just over seven months after BlackBuck's public market debut in November last year. Since then, several early investors have pared their stakes. Flipkart, via its unit Quick Routes International, sold its entire 9.01% stake for ₹672 crore. Accel exited with ₹204 crore from its 2.7% holding, and Peak XV Partners offloaded shares worth ₹53.84 crore.
Meanwhile, institutional buyers Abu Dhabi Investment Authority, Massachusetts Institute of Technology, ICICI Prudential, SBI Mutual Fund, and Nomura India collectively acquired a 4.73% stake in the company.
Shares of the company were trading marginally higher at Rs 428 apiece on NSE today.
Edited by Swetha Kannan