Investcorp, a worldwide alternative investment company, has announced that it has purchased 20Cube 3PL Solutions (“20Cube”), a prominent digital-oriented contract logistics platform in India, for about Rs 500 crores.
With this investment, Investcorp will support the existing founding team of Anand Seetharaman and Ranjan Kedia to drive 20Cube's upcoming growth phase by broadening its service offerings to meet the increasing demand from the surging manufacturing sector in India. Additionally, 20Cube and Investcorp aim to invest another INR 500-750 crore to acquire complementary contract logistics companies.
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The deal highlights Investcorp’s ongoing committment to investing in India's logistics and technology industries and also demonstrates its strategy of funding high-quality firms with scalable operations and capable management teams.
The deal entails separating the India contract logistics division from Singapore-based 20Cube Logistics, which will maintain its emphasis on international freight forwarding as its primary operation. The logistics contract sector in India now manages more than seven million square feet of warehouse space, catering to major enterprise clients in the consumer durables, chemicals, automotive parts, and engineering products industries. It aims to expand to more than 20 million square feet of storage space in the next four to five years.
Gaurav Sharma, Head of India Investment Business at Investcorp says, "We are pleased to announce the acquisition of 20Cube, in partnership with the founders Anand and Ranjan, as the company embarks on its next phase of growth. This investment reflects our continued conviction in India’s rapidly evolving contract logistics sector, where we currently participate through NDR Warehousing and Miebach Consulting".
"As India’s supply chains continue to modernize, we look forward to working closely with 20Cube’s leadership to scale a technology-enabled logistics platform that creates lasting value for customers, employees, and stakeholders".
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Anand Seetharaman, Managing Director, 20Cube 3PL Solutions says, “This investment marks a defining milestone in 20Cube’s growth journey. Over the years, the team has built a customer-centric, service-first, and digitally enabled contract logistics platform for executing scalable, high-efficiency supply chain solutions. With Investcorp’s global institutional backing and deep sector expertise, we are well positioned to accelerate our technology capabilities, expand our pan-India network, and deliver enhanced value across India’s rapidly modernizing logistics ecosystem.”
Ranjan Kedia, Chief Executive Officer adds, “As we embark on this exciting growth journey, our commitment to our customers remains paramount. With our existing management team firmly at the helm, we offer our clients seamless continuity, operational rigor, and an unwavering commitment to service excellence.”
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Varun Laul, Partner at Investcorp adds, “In a market largely driven by fixed-space, manpower-based contracts, 20Cube differentiates itself with on-demand multi-client warehousing that seamlessly integrates transportation and other value-added services. Not only does this deliver greater value for customers, it also creates a more resilient business. 20Cube, with its focus on consumer durables, automotive components, chemicals and engineering goods, is extremely well-placed to benefit from increasing manufacturing activity resulting from the ‘Make in India’ program.”