TVS Supply Chain’s Subsidiary Invests in Swamy & Sons 3PL for FMCG and FMCD Expansion
TVS Supply Chain Solutions Limited, through its subsidiary FIT 3PL Warehousing Private Limited, has announced a significant investment in Swamy & Sons 3PL Private Limited. This move is aimed at facilitating business expansion and strengthening the company's capabilities within the Fast-Moving Consumer Goods (FMCG) and Fast-Moving Consumer Durables (FMCD) sectors.FIT 3PL made an initial investment of Rs. 59,56,43,370 in the Target Entity. This primary investment was made toward the proposed acquisition of 100% of the paid-up share capital of Swamy & Sons 3PL Private Limited, which involves both primary and secondary acquisition of securities. As part of the primary investment, the Target Entity allotted 40,000 equity shares to FIT 3PL.
The Target Entity, Swamy & Sons 3PL Private Limited, was established by the Swamy Sons Group, headquartered in Hyderabad. It was formed to acquire the business undertakings of the Swamy Sons Group, including Swamy Sons (Agencies) Private Limited, Sovereign Enterprises, a partnership firm, and Crystal Marketing Corporation, a partnership firm. The acquired business undertakings fall under the Third Party Logistics (3PL) industry.
The acquisition is structured in phases. The initial tranche was completed, wherein FIT 3PL now holds 80% of the paid-up share capital of Swamy & Sons 3PL Private Limited. The remaining share capital acquisition, constituting Tranche 2, is expected to be completed on or before September 30, 2027. This second phase involves the secondary acquisition of all equity shares held by the founding shareholder(s), after which FIT 3PL will possess 100% ownership.
The investment utilized a cash consideration structure, with FIT 3PL paying INR 59,56,43,370 for the initial investment.
Business Undertaking and Financial Overview
The acquired business units have a robust history in the market. The consolidated turnover of these business undertakings shows steady performance over the last three financial years.| Particulars | Details |
|---|---|
| Target Entity Name | Swamy & Sons 3PL Private Limited |
| Line of Business | Third Party Logistics (3PL) and Warehousing |
| Date of Incorporation | 28/11/2025 |
| Consolidated Turnover (FY 2024 - 25) | INR 207.1 crores |
| Consolidated Turnover (FY 2023 - 24) | INR 210.3 crores |
| Consolidated Turnover (FY 2022 - 23) | INR 215.4 crores |
The expansion is expected to lead to increased revenue and profit growth for TVS Supply Chain Solutions Limited. The promoters or the promoter group do not have any direct interest in this transaction.
TVSSCS Stock Price Movement
On Friday, TVS Supply Chain Solutions Limited shares rallied 4.99% to close at ₹121.57. The stock showed strong investor interest, trading on a volume of 521,966 shares and finishing well above its previous day's close of ₹115.79.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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