Allcargo Logistics Ltd

History

Allcargo Logistics Limited, initially named Allcargo Global Logistics Ltd, was established on August 18, 1993, by Mr. Shashi Kiran Shetty. This company has emerged as a significant player in the global logistics sector. Its operations are divided into three key areas: Multimodal Transport Operations, Container Freight Stations/Inland Container Depots, and Project and Engineering Solutions. Additionally, it engages in Contract Logistics through its joint venture, Avvashya CCI Logistics Private Limited. Allcargo is a prominent entity in the global LCL consolidation market, boasting a robust network that spans over 180 countries with more than 300 offices, covering over 4,500 port pairs worldwide. Allcargo's journey includes strategic acquisitions like ECU-Line (now ECU Worldwide) in 2006, enhancing its global logistics capabilities. The company went public in 2006, and its equity shares were listed on the Bombay Stock Exchange and the National Stock Exchange of India on June 23, 2006. In 2019, the company launched India’s largest logistics park in Jhajjar, Haryana. In 2020, the company acquired a strategic stake in Gati Express, with mutual operations commencing in 2024. In 2023, Allcargo demerged its operations into three different companies, creating Allcrago Terminals, Allcargo Supply Chain, and Transindia Real Estate.

Business Segments

Allcargo Logistics is a diversified logistics company with a presence across multiple segments. Here's a breakdown of their key business segments:

1. Multimodal Transport Operations (MTO): MTO involves managing the movement of goods by sea, air, and land using a combination of transportation modes. Allcargo is a global leader in Less-than-Container-Load (LCL) consolidation, meaning they group smaller shipments from multiple customers into full containers for cost efficiency. They also offer Full Container Load (FCL) forwarding and other freight forwarding services.
2. Container Freight Station Operations (CFS) & Inland Container Depot Operations (ICD): Allcargo operates a network of CFS and ICD facilities in India, which handle the import and export of cargo, including customs clearance, warehousing, and other value-added services.
3. Project & Engineering Solutions (P&E): This segment caters to the specialised needs of project cargo, such as oversized or heavy machinery and equipment. Allcargo provides transportation, rigging, and other logistical services for complex project movements.
4. Supply Chain Management: Allcargo offers various supply chain management services, including warehousing, distribution, and contract logistics. These services are provided through subsidiaries like Gati Ltd and Allcargo Supply Chain.
5. Logistics Parks: Allcargo develops and operates logistics parks, which provide infrastructure and services for businesses involved in logistics and warehousing. This segment is relatively small compared to others.

Subsidiaries of Allcargo Logistics Limited There are more than 100 subsidiaries, associate companies and joint ventures through which the company conducts its business. A few of them are listed below:

1. Contech Logistics Solutions Pvt. Ltd: This subsidiary focuses on logistics solutions, including warehousing, transportation, and supply chain management, aiming to improve efficiency and reduce costs.
2. Ecu International (Asia) Pvt. Ltd: Specialising in non-vessel-owned common carrier operations, it handles less than container load and full container load forwarding, especially in the Asian market.
3. TransIndia Logistic Park Pvt Ltd: Engaged in logistic park development and management, it offers warehousing, distribution facilities, and integrated logistics solutions.

Key Personnel 

Shashi Kiran Shetty, Founder and Executive Chairman  Shashi Kiran Shetty, founder of Allcargo Logistics in 1993, has significantly impacted the Indian logistics industry. His strategic leadership led to Allcargo's global expansion, including the notable acquisition of ECU-LINE. Shetty has received numerous honours, including the ‘Lifetime Contribution to Freight Award’ and a high civilian honour from Belgium. He is an Ernst & Young 'Entrepreneur of the Year' awardee and engages in philanthropy. Corporate Actions  Demerger 

• Allcargo Terminals Limited allotted one equity share of ₹2 for each share of the same value held in Allcargo Logistics Ltd as part of the demerger of its Container Freight Station and Inland Container Depot business.

Buyback 

• Allcargo Logistics announced a buyback of up to 64,00,000 equity shares, around 2.54% of its total outstanding shares, at a price of ₹195 per share. The buyback, totalling ₹1,24,80,00,000, is set for shareholders on record as of November 18, 2016. 

Bonus

• Allcargo Logistics Limited announced a 1:1 bonus share issue, with the record date set for December 31, 2015, for eligible shareholders.