German shipping company Hapag-Lloyd has acquired a significant chunk of the ports and logistics company to expand its Australasian presence
International shipping and container transport company Hapag-Lloyd has signed a binding agreement under which it will acquire 35 per cent of J M Baxi Ports & Logistics Limited (JMBPL) from a Bain Capital Private Equity affiliate.
Additionally, Hapag-Lloyd 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 per cent.
The contracting parties agreed to not disclose any financial details of the deal.
J M Baxi Ports & Logistics Limited is a leading private terminal and inland transport service provider in India. The 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 TEU.
J M Baxi Ports & Logistics Limited recently won additional concessions for operating container terminals in Nhava Sheva and Tuticorin.
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“Terminal and infrastructure investments are a crucial element of our strategic agenda and India is one of our key growth markets,” Hapag-Lloyd CEO Rolf Habben Jansen says.
“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.”
In driving its 2023 strategy, 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.
The closing of the transactions is subject to approval by the relevant authorities and to additional conditions customary for a transaction of this kind.