Hapag-Lloyd announced that it acquired a "substantial stake" in J M Baxi Ports & Logistics Limited — a private terminal and inland transport service provider in India — which is seen to strengthen the shipping giant's presence in key strategic growth markets in India.
"Hapag-Lloyd AG signed a binding agreement today under which it will acquire 35% of J M Baxi Ports & Logistics Limited (JMBPL) from a Bain Capital Private Equity affiliate," the liner said on January 25.
Source: Hapag-Lloyd
It added that it signed a binding agreement with JMBPL and its promoters, the Kotak family, to subscribe to a capital increase by the company and raise Hapag-Lloyd's shareholding to 40%.
The contracting parties agreed not to disclose any financial details of the deal.
J M Baxi Ports & Logistics Limited is a private terminal and inland transport service provider in India. Its operations comprise container terminals, a multi-purpose terminal, inland container depots, container freight stations and additional logistics activities, such as rail service offerings across India.
The company employs around 5,400 staff and handles a combined container volume of approximately 1.6 million TEUs.
Hapag-Lloyd noted that J M Baxi Ports & Logistics Limited recently won additional concessions for operating container terminals in Nhava Sheva and Tuticorin.
India: growth market for Hapag-Lloyd
"Terminal and infrastructure investments are a crucial element of our strategic agenda, and India is one of our key growth markets," said Rolf Habben Jansen, CEO of Hapag-Lloyd.
"Acquiring a significant share in J M Baxi Ports & Logistics Limited will significantly boost our presence in India with a trusted local partner, and it is another important step to build up our terminal and infrastructure business," the Hapag-Lloyd chief added.
In driving its Strategy 2023, Hapag-Lloyd has continuously expanded its involvement in the terminal sector, most recently through an agreement to acquire the terminal business of Chile-based SM SAAM.
Hapag-Lloyd also has stakes in the Italy-based Spinelli Group, the JadeWeserPort in Wilhelmshaven, the Container Terminal Altenwerder in Hamburg, Terminal TC3 in Tangier, and Terminal 2 in Damietta, Egypt, which is currently under construction.
In its announcement, the ocean liner said the closing of the transactions is subject to approval by the relevant authorities and to additional conditions customary for a transaction of this kind.
