The Hindu Business Line : French container co plans to buy 26% in Adani Logistics

Kolkata, Aug. 21 CMA CGM, France’s number one and the world’s third largest container operator, is planning to acquire 26 per cent stake in Adani Logistics, a wholly-owned subsidiary of Mundra Port & SEZ Ltd, it is learnt.

CMA CGM, when contacted at its headquarter in Marseilles, declined to comment. However, inquiries reveal that negotiations were in progress though nothing had been finalised as yet.

Adani Logistics, it might be noted, has secured category I licence from the Indian Railways to operate container trains, though it is yet to launch the services. The orders for rakes have been placed and the first rake is to roll out either in mid-September or early October. There are also proposals for setting up and running container freight stations and inland container depots at different locations.

Mundra port’s existing container terminal is currently operated by Dubai Port World. A second terminal is under construction.

The indication so far is that the second terminal will be operated by Mundra Port & SEZ Ltd.

But the possibility of the French container giant acquiring the second terminal in the not-too-distant future, subject to approval of the authorities concerned, cannot be ruled out altogether, according to informed sources.

The move to acquire 26 per cent stake in Adani Logistics, it is felt, might be a first step in that direction. With the acquisition, CMA CGM will control connectivity to and from the port, which is critical for the smooth running of a container terminal and operation of shipping services, add the sources.

More Stories on : Mergers & Acquisitions | Supply Chain Management

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