TVS Supply Chain Solutions Limited disclosed an investment made by its wholly owned subsidiary, FIT 3PL Warehousing Private Limited (FIT 3PL), in Swamy & Sons 3PL Private Limited (Target Entity).
Transaction Details
FIT 3PL made a primary investment of ₹59,56,43,370 (Rupees Fifty Nine Crore Fifty Six Lakh Forty Three Thousand Three Hundred and Seventy Only) in Swamy & Sons 3PL Private Limited. This investment facilitated the allotment of 40,000 equity shares to FIT 3PL.
Transaction Structure
The investment is part of a definitive agreement for the proposed acquisition of 100% of the paid-up share capital of the Target Entity through a combination of primary and secondary acquisition of securities.
Acquisition Timeline
- Tranche 1 (Completed): Subscription of 40,000 equity shares completed, resulting in FIT 3PL holding 80% of the paid-up share capital of the Target Entity.
- Tranche 2 (Future): Acquisition of remaining share capital through secondary acquisition from founding shareholders to be completed on or before September 30, 2027. Upon completion, FIT 3PL will hold 100% of the Target Entity.
Target Entity Background
- Name: Swamy & Sons 3PL Private Limited
- Incorporation Date: November 28, 2025
- Line of Business: Third Party Logistics (3PL) and Warehousing (upon purchase of Business Undertakings)
- Country Presence: India
- Background: Newly incorporated company formed by Swamy Sons Group (Hyderabad-based) to acquire business undertakings consisting of:
- Swamy Sons (Agencies) Private Limited
- Sovereign Enterprises (partnership firm)
- Crystal Marketing Corporation (partnership firm)
Financials of Business Undertakings (Consolidated)
- FY 2022-23: ₹215.4 crores
- FY 2023-24: ₹210.3 crores
- FY 2024-25: ₹207.1 crores
Transaction Rationale
- Object: To facilitate business expansion and strengthen capabilities in Fast-Moving Consumer Goods (FMCG) and Fast-Moving Consumer Durables (FMCD)
- Impact: Expected revenue and profit growth due to business expansion
Transaction Considerations
- Not a Related Party Transaction: Promoters/promoter group have no interest in the transaction
- Consideration Type: Cash consideration
- Government Approvals: Not applicable