JSW Infrastructure Acquires Rail Logistics Businesses for ₹1,212 Crore

JSW Infrastructure has acquired JSW Rail Infra Logistics, JSW Minerals Rail Logistics, and JSW (South) Rail Logistics for an enterprise value of ₹1,212 crore. This move expands JSW Infrastructure’s presence in the railway rakes business and will give access to a fleet of 21 rakes. The acquisition is expected to boost the company’s logistics segment and is accretive from inception. The company aims to scale its fleet to 110 rakes by FY2030.

Acquisition Overview

JSW Infrastructure is strategically expanding into the railway rakes business through the acquisition of JSW Rail Infra Logistics Private Limited (‘JSW Rail’), JSW Minerals Rail Logistics Private Limited (‘JSW Minerals’) and JSW (South) Rail Logistics Private Limited (‘JSW South’). The total enterprise value of this acquisition is ₹1,212 crore, subject to working capital adjustments at closing.

Strategic Rationale

This acquisition provides JSW Infrastructure with immediate access to Indian Railways’ schemes, securing a fleet of 21 rakes and long-term licenses. This is aligned with JSWIL’s strategy to build an end-to-end multimodal logistics platform.

Financial Impact and Growth Plans

The proposed transaction is expected to deliver an annualized EBITDA of ₹150 crore by FY 2027. Fleet is expected to scale to 45 rakes by FY 2027, targeting 110 rakes by FY 2030.

Target Companies at a Glance

JSW Rail

Revenue from operations for FY 2025 was ₹96.5 Crore, with a PAT of ₹10.2 Crore and a net worth of ₹58.7 Crore.

JSW Minerals

Revenue from operations for FY 2025 was ₹31.1 Crore, with a PAT of ₹10.9 Crore and a net worth of ₹119.4 Crore.

JSW South

JSW South is yet to commence its railway rakes business operations; its Net Worth is ₹14 Crore.

Synergies and Future Outlook

This move enhances connectivity to JSWIL’s ports and unlocks third-party business opportunities. The acquisition is subject to shareholder and regulatory approvals.

Source: BSE

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