Aegis Logistics Seeks Shareholder Approval for ₹703 Crore Related Party Transaction

Aegis Logistics Limited , a key player in the Indian logistics sector, has announced a significant corporate action that could reshape its operational structure. The company has issued a postal ballot notice seeking shareholder approval for a material related party transaction valued at up to ₹703.00 crores.

Transaction Details

The proposed transaction involves the sale of a 51% equity stake in Hindustan Aegis LPG Limited (HALPG) by Aegis Gas (LPG) Private Limited (AGPL), a wholly-owned subsidiary of Aegis Logistics, to Aegis Vopak Terminal Limited (AVTL), an associate company. This move is part of a larger restructuring that aims to consolidate LPG throughput services from various locations across India under AVTL.

Key Points of the Transaction

Valuation: The transaction is valued at 10.39% of Aegis Logistics' consolidated turnover.
Current Ownership: AGPL currently holds a 51% equity stake in HALPG.
Post-Transaction Ownership: AVTL is set to hold a 75% stake in HALPG after the completion of this transaction and a separate transfer of 24% equity from Vopak India BV.
Approval Process: The Audit Committee has approved the transaction, subject to shareholder consent.
Voting Period: E-voting for shareholders is scheduled from November 1 to November 30, 2025.

Strategic Rationale

The company states that this restructuring is designed to:

Promote operational synergies within the group structure.
Enhance business efficiency.
Consolidate LPG throughput services under AVTL, excluding the Mumbai Terminal.
Strengthen AVTL's position in the LPG logistics segment.

Financial Implications

Aspect	Details
Transaction Value	Up to ₹703.00 crores
Percentage of Consolidated Turnover	10.39%
AGPL's Standalone Turnover	154.90%
AVTL's Consolidated Turnover	113.19%

Valuation and Compliance

The transaction is based on an independent valuation report by Deloitte Haskins & Sells. The company assures that the deal will be conducted on an arm's length basis, adhering to regulatory requirements and protecting the interests of all entities involved.

Aegis Logistics' Continued Involvement

Post-transaction, Aegis Logistics will maintain an indirect holding of approximately 33.5% in HALPG through its 44.71% equity stake in AVTL. The company states that this structure will protect its interests in HALPG while allowing for strategic focus on its premium Mumbai Terminal market.

Shareholder Action Required

Shareholders are urged to participate in the e-voting process, which will run from November 1 to November 30, 2025. The outcome of this vote will determine the approval of this material related party transaction.

As Aegis Logistics navigates this strategic restructuring, stakeholders will be watching closely to see how this move impacts the company's operational efficiency and market position in the competitive LPG logistics sector.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
+0.47%	-0.45%	-7.75%	-2.35%	-4.82%	+8.67%

Aegis Logistics Limited has announced a significant corporate restructuring move, with its board approving the sale of a majority stake in one of its subsidiaries. This decision marks a notable shift in the company's portfolio and operational structure.

Key Transaction Details

The board of Aegis Logistics has given its approval for the sale of a 51% stake in Hindustan Aegis LPG Limited (HALPG), a step-down subsidiary, to Aegis Vopak Terminal Limited (AVTL), an associate company of Aegis Logistics. Here are the crucial details of the transaction:

Aspect	Details
Stake for Sale	51% (6,21,146 Equity shares)
Seller	Aegis Gas (LPG) Private Limited (AGPL, wholly-owned subsidiary of Aegis Logistics)
Buyer	Aegis Vopak Terminal Limited (AVTL, associate company)
Transaction Value	₹701.61 crore
Expected Completion	By January 15, 2026

Impact on Corporate Structure

Following the completion of this transaction:

HALPG will cease to be a subsidiary of AGPL
HALPG will no longer be a step-down subsidiary of Aegis Logistics Limited

Financial Implications

The sale of HALPG shares is expected to have a significant financial impact. Based on the data from the last financial year (as of March 31, 2025):

Metric	HALPG's Contribution
Turnover	₹168.13 crore (2.49% of Aegis Logistics)
Net Worth	₹447.24 crore (10.07% of Aegis Logistics)

Regulatory Compliance

The transaction adheres to the following regulatory aspects:

Subject to shareholders' approval
Classified as a related party transaction
Conducted on an arm's length basis
Compliant with SEBI Listing Obligations and Disclosure Requirements Regulations, 2015

Additional Corporate Action

In a separate but related development, Aegis Vopak Terminals Limited (AVTL) has approved the acquisition of a 96% stake in Aegis Terminal (Pipavav) Limited (ATPL) from Aegis Gas (LPG) Private Limited. This transaction, valued at ₹4.80 lakh, is expected to be completed by November 30, 2025.

The strategic moves by Aegis Logistics and its associated companies indicate a significant restructuring of its business portfolio. These transactions may potentially impact the company's operational focus and financial structure in the coming years. Investors and market watchers will likely keep a close eye on how these changes affect the company's performance and market position in the LPG and logistics sectors.