Global transportation and shipping company the CMA CGM Group is reinforcing its position in India with the acquisition of a stake in LCL Logistix, via its subsidiary CMG CGM LOG. 

The group, which has its headquarters in Marseille, France, made the announcement today (Wednesday April 29) claiming this is a 'strategic stake' in a 25-year-old Indian logistics leader that specializes in freight and logistics solutions.

A release says the acquisition will leverage LCL Logistix’s Indian network as well as its presence in East Africa, Canada and the U.S., and will allow CMA CGM LOG to expand both its product offering and geographic coverage, including in emerging countries where logistics solutions are in high demand.

LCL Logistix is based in Mumbai and has a network of 42 offices around India and abroad, with operations in strategic locations including Nhava Sheva (also known as Jawaharlal Nehru Port), Haldia in West Bengal and Pipavav in Gujarat.

The release adds that LCL revenues amounted to approximately US$120 million in 2014, and the management team will be maintained following the stake acquisition.

"By taking this stake, CMA CGM LOG improves its logistics offer and has LCL Logistix benefit from its international network," says Mathieu Friedberg, vice president of freight forwarding and logistics activities for CMA CGM LOG.

"2015 will see CMA CGM LOG’s development accelerate thanks to the new synergies generated by this investment, but also with the implementation of CMA CGM LOG in 12 new countries."

Photo: Wikimedia Creative Commons

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