Allcargo buys partner’s 39 per cent stake in contract logistics arm for Rs 1.45 billion

Allcargo Logistics has decided to acquire the remaining 38.87 per cent stake from its partner ACCI in its contract logistics arm for Rs 1.45 billion, valuing the company at Rs 3.73 billion at an enterprise level. With this acquisition, Allcargo will now own 100 per cent stake in its contract logistics arm. The acquisition price is based on the agreement that was signed with ACCI in 2016 and with growth in this business over the years. All­cargo’s contract logistics business is engaged in managing inventories and providing third-party supply chain solutions to marquee Indian and international customers across the chemical, auto, e-commerce and other industries. Allcargo’s board has also approved the sale of its smaller non-core customs clearance business, wherein it will sell its 61.13 per cent stake for an enterprise value of nearly Rs 420 million.