India's Allcargo spends way to the big time after HK acquisition

INDIA's Allcargo Global Logistics will spend INR250 crore (US$54.6 million) next year to become global enterprise by 2013-14 with plans to embark on capacity expansion at its container freight stations at Jawaharlal Nehru Port Trust near Mumbai and other ports on the subcontinent with INR100 crore.

Allcargo Global has also announced it spent INR100 crore acquiring controlling interests in two unidentified Hong Kong forwarders engaged in NVOCC (Non Vessel Owning Common Carrier) business in China and other parts of eastern regions.

Allcargo Global has announced it spent INR100 crore acquiring, through a subsidiary, controlling interests in two unidentified Hong Kong forwarders engaged in NVOCC (Non Vessel Owning Common Carrier) business on the mainland and other parts of eastern region.

Allcargo will also invest INR40 crore on warehousing capacity expansion at Verna (Goa), Hosur (Tamil Nadu) and Nagpur (Maharashtra), reported The Times of India.

The Shashi Kiran Shetty-promoted company also announced its entry into third party logistics (3PL) business. Allcargo Global will also invest in developing inland container depots in Dadri and Hyderabad with INR20 crore.

Apart from the INR50 core for projects and fleet expansion, the company will have a regular capital expenditure of INR20 in 2011. In the calendar year, Allcargo Global has spent INR300 crore as capital expenditure in expanding capacity at container freight stations in Mundra and Chennai, said a company spokesman.

Net profit of Allcargo Global Logistics rose 25.17 per cent to INR39.1 crore in the quarter ended September 30 as against INR31.2 crore during the same quarter last year, earnings drawn on revenues of INR196.52 crore, up 48.2 per cent year on year.
(Source:www.schednet.com)