Consolidated Shipping Line seeks 60-crore strategic investment

      02/08/2019

Kochi-based Consolidated Shipping Line (CSL), a leading third-party logistics operator having pan India operations, is seeking a strategic partnership involving an investment of up to 60 crore through equity placement.

The company — with exposure to the Indian defence sector — has drawn up plans to boost its market share in defence projects, upgrade infrastructure and technology, and improve profitability by optimising costs. CSL has projected a tripling of revenues from the current level of 70 crore by 2021.

With the strategic partnership, CSL is aiming to leverage its existing platform to bid for larger project contracts that are five times the size of its current contracts. High-value government/PSU contracts require larger reserves — of up to 20 crore — and credit cycles of up to six months, but they generate higher margins of up to 30 per cent, said Ajai Joseph, Chairman and CEO.

CSL has spent close to $1 million to strengthen infrastructure over the last three years. The company is poised to execute on market needs, based on its capabilities in warehousing, technology-enabled solutions, logistical parks and transportation strengths, he said.

The company has chalked out plans to increase local presence in all key global locations through channel partners and by recruiting international route development managers.

On the technology front, CSL is also planning to grow its BPO services 200 per cent before 2020, and build a centralised market place for CSL’s global partner network and user groups in the industry this year itself, he added.