Allcargo acquires 5.97-per cent stake in rival Distriparks

13 March 2009

Logistic service provider Allcargo Global has acquired a 5.97-per cent stake in rival Gateway Distripark for Rs29 crore, in an open market deal.

Allcargo said that the transaction was "purely a treasury investment" and was funded from internal accruals.

Global private equity fund Blackstone Group LP has a 10.39-per cent stake in Allcargo.

The 6.1 million equity shares were bought by Sealand Terminals Pvt Ltd, a wholly-owned subsidiary of Allcargo from the Singapore government's investment arm Temsek Holdings Pte Ltd.

An announcement to this effect has been made by an unnamed Allcargo official in a notice to the Bombay Stock Exchange.

''It is purely a treasury investment and has nothing to do with consolidation,''