Mahindra Logistics Ltd. (MLL) of the Mahindra Group has received an investment of Rs. 200 crores for a significant minority stake from Kedaara Capital as its maiden investment in the Indian logistics sector.
MLL, a leading third party logistics (3PL) service provider, has grown rapidly by diversifying its industry segment focus, developing an integrated supply chain services portfolio, and by offering unique people transport solutions.
In 2009, the Mahindra Group identified logistics as a key focus area, and since then MLL has been part of the Mahindra Partners Division, the $800 million quasi-private equity division of the group.
Commenting on the deal, Mr. Pirojshaw Sarkari, CEO, MLL, said: “We are delighted to have Kedaara on board with us. They will add significant value to our expansion plans as well as in evaluating and executing an acquisition led growth strategy. This is a significant step towards an IPO by 2017 and achieving our vision of being India’s most preferred integrated logistics service provider.”
Mr. Manish Kejriwal, Managing Partner, Kedaara Capital, observed: “This investment is in line with our focus of partnering with leading Indian business groups to enhance the value of their businesses. We are privileged to have a long standing, trust-based relationship with the Mahindra Group and are excited at this opportunity to work alongside a terrific management team to help create a world class 3PL company. Further, our collaboration with Mahindra Partners will allow us to exploit many other opportunities together.”