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JSW Infrastructure, through JSW Port Logistics, will acquire three rail logistics firms from JSW Shipping & Logistics for INR 1,212 crore. The deal provides immediate access to 21 operational rakes, long-term freight contracts with major steel clients, and key Indian Railways licences. The business is projected to generate an annualised EBITDA of INR 150 crore by FY27. Building on its 2024 logistics acquisition, JSW plans to expand its rake fleet to 110 by FY30, capitalizing on the expected rise in India's rail freight volumes and strengthening its integrated multimodal logistics platform.
JSW Infrastructure, through its subsidiary JSW Port Logistics, is set to acquire three rail logistics companies JSW Rail Infra Logistics, JSW Minerals Rail Logistics, and JSW (South) Rail Logistics - from JSW Shipping & Logistics Pvt Ltd for an enterprise value of INR 1,212 crore. The acquisition provides JSW Infrastructure immediate access to existing operational rakes, long-term transport contracts, and approved licences under Indian Railways' General Purpose Wagon Investment Scheme (GPWIS) and Liberalised Special Freight Train Operator (LSFTO) schemes. Advertisement
Currently, the three entities operate 21 rakes, with four additional rakes scheduled for delivery in the near future. These firms hold long-term freight contracts, some extending up to ten years, with key clients such as JSW Steel and Bhushan Power & Steel Ltd. The business is expected to deliver an annualised EBITDA of INR 150 crore by FY27.
This acquisition follows JSW Infrastructure's previous expansion into logistics, including the 2024 purchase of Navkar Corporation, which focused on last-mile logistics. Post this deal, JSW Infrastructure aims to scale its total rake fleet from 25 to 45 by FY27 and further to 110 by FY30. This expansion aligns with India's freight growth projections, where total rail freight is expected to rise from 1.6 billion tonnes in FY25 to 3 billion tonnes by FY30, with rail's share in freight anticipated to reach 45%.
By consolidating these rail logistics operations, JSW Infrastructure strengthens its multimodal logistics capabilities, integrating ports, last-mile operations, and rail freight into a unified platform. The acquisition not only provides access to physical assets and licences but also secures predictable revenues from long-term contracts, reinforcing the company's strategic positioning in India's growing freight sector.
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