Toll takes big step into Indian market, acquiring a share in local line haul provider BIC Logistics
Logistics giant Toll has taken its biggest step into the Indian market, acquiring a share in local line haul provider BIC Logistics.
Toll has taken 40 percent of the business, which earned $37 million in the year ended March 30, with plans to take outright control in “two years time”.
Toll Managing Director Paul Little says the acquisition, adding to its network in 50 countries, demonstrates his company’s confidence in India as a major economic superpower.
“This is an important acquisition for Toll and demonstrates our confidence in India’s future,” he says.
Little also made it clear BIC’s modern fleet of road vehicles as well as its 80 locations through out India made it a clear choice to increase Toll’s growing stronghold on the countries logistics industry.
“BIC is a great fit for our existing operations in India – it represents an opportunity to enhance both the scope and scale of our operations and allows us to be one of the few foreign companies with critical transport fleet capability,” he says.
The current global financial crisis does not seem to be a problem for Toll, unlike Australian rival Linfox who recently halted its proposed expansion in India due to a loss of revenue.
“Its fair to say that global economic conditions are continuing to open up opportunities for the Toll Group given our strong balance sheet and diverse logistics offering,” Little says.