TVS Supply Chain Solutions picks controlling stake in FIT 3PL Warehousing

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TVS Supply Chain Solutions (TVS SCS) has picked up a controlling stake in Bengaluru-based FIT 3PL Warehousing Pvt Ltd, an end-to-end contract logistics services provider.

The company has acquired 69.1 percent in FIT 3PL from FIT Consulting and Services Pvt Ltd for an undisclosed sum.

“This transaction will strengthen the existing pan-India presence of TVS SCS through an addition of more than 1.5 million square feet of warehouse space,” said a release. Incorporated in 1997, and formerly known as Jayem Warehousing Pvt Ltd, FIT 3PL is one of the few independent Indian logistics companies with establishments across the country.

It has about 75 warehouses across 33 cities and offers a bouquet of logistics services to customers across sectors such as office automation, fast-moving consumer goods, e-com, retail, auto, engineering, and the like. The company was rebranded FIT 3PL in 2020.

TVS SCS has been making headlines for a while now. In the last three months, it has raised nearly Rs 1,600 crore from private investors. This included the Rs 590 crore raised in October from a fund managed by Exor, the Europe-based diversified holding company controlled by the Agnelli family.

In September, about Rs 1,000 crore was raised from Kotak Special Situations Fund. Of this, Rs 800 crore was reportedly raised by a promoter entity of R. Dinesh, managing director of TVS SCS, to buy out the Canadian pension fund CDPQ’s stake in the company and help the TVS family consolidate its holding.

"FIT 3PL is an important business addition and will further strengthen TVS SCS’ pan-India presence. Our full range of technology capabilities can be leveraged to increase cross-selling and up-selling opportunities and provide solutions for all new and existing customers of FIT 3PL. This acquisition will advance TVS SCS’ technology position by adding scale and empowering customers to optimise their supply chains using the power of emerging technologies,” Ravi Viswanathan, joint managing director, TVS SCS, said in a statement.

TVS SCS has grown both organically and through strategic acquisitions to become a fully integrated global supply chain solutions provider with over 17,000 employees.