Continental Warehousing Corporation (Nhava Seva) Ltd., (CWCNSL), a 90%-owned subsidiary of Hindustan Infralog Pvt. Ltd. (HIPL), has acquired 76% stake in Kribhco Infrastructure Ltd. (KRIL), an integrated multi-modal logistics operator for an unspecified amount. Hindustan Infralog is a joint venture between DP World and the National Investment and Infrastructure Fund (NIIF). Kribhco (Krishak Bharati Cooperative Society) Ltd. will continue to retain the remaining 24% shareholding.
The purchase consideration is below one per cent of DP World’s net asset value as of 2018, the port company said in a press release.
KRIL operates three major inland container depots/private freight terminals in Haryana, Uttar Pradesh and Gujarat. It has container train operations with a pan-India outreach. KRIL has a presence in the National Capital Region, which is India’s largest import-export market with a population of over 46 million, including a terminal located on a notified double stack route. With the acquisition of KRIL, DP World will emerge as one of the leading integrated rail terminal and container train operators in India with an enhanced network to provide door-to-door connectivity to cargo owners. It will also augment DP World’s existing business in terms of the business model and geographic footprint, offering an integrated portfolio to the entire logistics value chain.
They made a strong progress in building an integrated logistics platform which can deliver a competitive solution to cargo owners and which aims to continue adding scale to our offering to deliver greater efficiencies and value to the trade.
The acquisition bolsters D P World’s presence in the fast-growing inland logistics market by making it one of the top integrated rail terminal and container train operators in the country, providing door-to-door connectivity to cargo owners.