23 April, 2019
Cyril Amarchand Mangaldas advised Adani Logistics Limited (Adani Logistics) on acquisition of stake held by True North and its affiliates in Innovative B2B Logistics Solutions Private Limited (InLog). Gurgaon-based InLog provides integrated logistics services for domestic cargo movement and operates 14 container rakes, a logistics park in Kanech, Punjab and 3566 containers. With this acquisition, Adani Logistics will become the largest private rail and logistics operator in India.
The Corporate (M&A, Private Equity), and Dispute Resolution Teams of Cyril Amarchand Mangaldas advised on the drafting, reviewing, negotiating and finalising certain aspects of the share purchase agreement and guarantee from the fund manager of True North, and in relation to indemnity obligations of True North under the share purchase agreement and other transaction documents.
The Transaction team was led by Paridhi Adani, Principal Associate; with support from Prashant Bakhru, Associate.
The Funds team led by Shagoofa Rashid Khan, Partner; with support from Esha Harkisandas, Principal Associate; and Rini Mitra, Senior Associate; advised on certain guarantee and indemnity related documents.
The Litigation team was led by Gauri Rasgotra, Partner & Deputy Head – Delhi; with support from George Varghese, Senior Associate. The team advised on certain ongoing proceedings between the Adani Logistics and Central Warehousing Corporation.
As a part of the Transaction, Adani Logistics acquired 97.03% shareholding of True North and its affiliates in InLog at an enterprise value of INR 331 crores, including the cost of acquisition of equity shares of True North for INR 43.20 crores approximately. The balance shareholding of 2.97% held by the other minority shareholders will be acquired within 60 days from the date of closing of the Transaction.
The date of signing of the Transaction was March 28, 2019; and it is expected to close by April 2019.
