Lift and Shift India acquired
By Alex Dahm26 April 2022
JM Baxi Heavy Private Limited in India will acquire Lift & Shift India Private Ltd’s heavy and over-dimension cargo logistics business and Allcargo Logistics Ltd’s project forwarding and logistics business.
Lift and Shift has accepted port specialist JM Baxi’s binding offer, which is subject to the execution of a definitive agreement for the business transfer between the parties, according to the company. At the time of writing in late April, completion of both transactions was expected in a matter of weeks. It was planned for both businesses to merge into JM Baxi Heavy, a subsidiary of JM Baxi Ports & Logistics.
Lift and Shift specializes in engineered logistics services for super heavy lift and shift, often via multi-modal transport methods. In addition to the offshore oil and gas industry, its application sectors include petrochemicals, hydrocarbons, fertilisers, renewable energy, power generation, civil construction and large-scale manufacturing.
According to JM Baxi Heavy, combining its equipment fleet with that of Lift and Shift will create India’s largest fleet of speciality equipment for over-dimensional and heavy cargo logistics. It will include self propelled modular transporter (SPMT), barges and lifting equipment.
JM Baxi Heavy said it will be able to “reach a wider customer base, improve its service proposition and create synergies in efficiency building, while being able to mobilise equipment and personnel swiftly, anywhere within India.”
Adding Allcargo’s project forwarding and logistics business will expand JM Baxi’s existing network in the Indian sub-continent and Africa. In addition, it will benefit from Allcargo’s expertise in project forwarding and long-haul transport of heavy and-or over-dimensional cargo.
Commenting on the deal Romil Parikh, Lift and Shift director, said, “The merger of our company into the JM Baxi fold has exciting potential for us. There is a strong demand for end-to-end solutions and with the largest specialized equipment fleet on the subcontinent, coupled with JM Baxi’s terminal infrastructure, we are confident that we will be able to add tremendous value to our clients.”
Dhruv Kotak, JM Baxi Group managing director, said, “The Indian economy has strong fundamentals for growth, and this acquisition comes at a time where there is an upsurge in capital expenditure in various sectors in the country. We are just beginning to see the cycle turn. The next decade will see momentum in demand bolstered by the National Infrastructure Pipeline with a size of US$1.5 trillion.
“The acquisition of the two business divisions of Allcargo and Lift and Shift will add immense value, weave in synergies with the current line of business at JM Baxi Heavy and expand opportunities for the organisation to be present in high growth categories. Through this, we will be able to cater to our customers across the infrastructure space in the Indian and African sub-continents. The acquisitions will further strengthen, JM Baxi’s strategy for long term growth and enable us to continue being an active participant in the Indian growth narrative.”
For Allcargo Logistics Adarsh Hegde, joint managing director, said, “India, today, is looking ahead to bold business targets. Achieving them definitely needs robust infrastructure development, and JM Baxi Group has truly proved its capabilities in contributing to it. Allcargo and JM Baxi are happy to partner with each other in making this transaction successful. This will be good for industry, customers and employees as businesses and capabilities come together. At Allcargo, this exit is aligned with our strategy to focus on Allcargo Group’s core business. I have no doubt the new entity under JM Baxi Group leadership will play a key role in the project logistics support for infrastructure development, not just in India but also other developing countries. My best wishes to the teams!”