Allcargo Logistics gets NCLT approval for major restructuring

Allcargo Logistics, India’s largest integrated logistics solutions provider, has received approval from the National Company Law Tribunal (NCLT), Mumbai Bench, for its Composite Scheme of Arrangement. The move will split the company’s domestic and international businesses into separate listed entities, marking a major step in its strategic restructuring.

Under the scheme, the international supply chain business will be demerged into a new listed entity, Allcargo Global Limited, while the domestic express and contract logistics operations will be consolidated under Allcargo Logistics Limited. Shareholders of Allcargo Logistics Limited will receive one share each in Allcargo Global on a 1:1 basis. Shareholders of Allcargo Gati Limited will receive 63 shares in Allcargo Logistics Limited for every 10 shares they hold. Record dates will be announced by the respective boards in the coming weeks.

Ravi Jakhar, Group CFO and Director – Strategy, said the restructuring gives the company’s flagship businesses strategic independence and clearer financial accountability. He added that it allows dedicated management oversight, efficient capital allocation, and a digital-first approach, while creating value for stakeholders.

Following the NCLT approval, Allcargo will file the sanctioned scheme with the Registrar of Companies and take steps for implementation, including share allotment and listing of the demerged entity. The restructuring concludes a four-year-long strategic reorganisation and will eventually result in four listed business undertakings: Allcargo Global for international supply chain, Allcargo Logistics for domestic logistics, and Allcargo Terminals Limited and TransIndia Real Estate Limited for CFS/ICD and real estate businesses respectively.