GATI Ltd, India’s leader in Express Distribution and Supply Chain Solutions, has offloaded a significant equity stake to Allcargo Logistics Ltd. India’s largest integrated logistics solutions provider. The company was founded by Mahendra Agarwal in 1989.
Agarwal has been scouting for an established strategic partner who could provide management and operational synergies, and launch GATI into its next growth phase, and build an enterprise so large that it has the scale to benchmark itself with best of global peers in express logistics. GATI found Allcargo Logistics Ltd. (“Allcargo”) an able and competent partner. Allcargo Logistics is the global leader in LCL consolidation through its wholly owned subsidiary ECU Worldwide.
Agarwal said, “This alliance strengthens GATI with more management bandwidth, operational synergies, cross-selling opportunities, and financial strength. Further, the alliance between GATI-Allcargo will also help consolidate GATI’s position in the domestic logistics sector by adding capabilities that cover the entire range of logistics functions for its customers, and increase GATI’s revenue potential manifold catapulting Gati+Allcargo to be the No. 1 logistics leader in the Indian subcontinent.”
Today, GATI’s revenues are in excess of Rs. 1,800 crores, with a variety of offerings, spanning from express distribution to 3PL operations. It boasts of some of the largest corporate clientele, across industry verticals, amongst its vast customer base in India.
Kintetsu World Express (KWE) — part of the USS 10.3 Billion Kintetsu Group Holdings, Japan; which entered into a Joint Venture with GATI to form the GATI-KWE subsidiary in 2012, continues to remain strongly invested, and will retain its existing association with GATI.
HrNxt.com Newsdesk has researchers and writers with an excellent domain knowledge about the talent ecosystem, and the business environment. The team keeps a tab on the latest happenings in the ecosystem to bring most relevant news and insights for our readers. You can connect with our newsdesk at newsdesk@hrnxt.com.