Aegis Logistics Limited (ALL) has announced a significant move in its operations, agreeing to transfer its recently commissioned Liquefied Petroleum Gas (LPG) terminal at Pipavav to Aegis Vopak Terminals Limited (AVTL) for a consideration of ₹428.40 crore. This strategic decision, disclosed in a regulatory filing on July 10, 2025, marks a notable development in the company's asset management and operational strategy.

Transaction Details

The transfer involves the LPG terminal with a cryogenic static storage capacity of 48,000 MT located at Pipavav. The deal is structured as a slump sale, meaning the entire unit will be transferred on a going concern basis. Here are the key aspects of the transaction:

Strategic Rationale

The transfer of the LPG terminal to AVTL is aligned with the group's strategy to consolidate its LPG terminalling services at Pipavav port under AVTL's management. This move is expected to:

1. Leverage growing service demand
2. Enhance operational synergy within the group
3. Optimize asset utilization and management

Impact on Financials

As the LPG cryogenic Terminal at Pipavav was only recently commissioned on July 3, 2025, its contribution to Aegis Logistics' turnover and net worth for the financial year ending March 31, 2025, is not applicable. The full financial impact of this transfer will likely be reflected in future financial statements.

Regulatory Compliance

Aegis Logistics has confirmed that the transaction complies with the necessary regulatory requirements:

• The deal is executed under a Business Transfer Agreement (BTA)
• It falls outside the Scheme of Arrangement
• The transaction does not trigger Regulation 37A of SEBI (LODR) Regulations, as the LPG storage terminal does not meet the definition of an "undertaking" under these regulations

Company Profiles

Aegis Logistics Limited (ALL)

Aegis Logistics is primarily engaged in developing, owning, and operating a network of shore-based tank farm installations in India. These facilities provide logistics solutions for oil, gas, chemicals, and petrochemical industries.

Aegis Vopak Terminals Limited (AVTL)

AVTL specializes in operating and managing independent storage and handling facilities. Their infrastructure includes storage terminals and pipelines connected to vessel jetties, catering to various products such as chemicals, edible and non-edible oil products, petroleum products, LPG, and other gases including LNG.

This strategic move by Aegis Logistics underscores the company's focus on optimizing its asset portfolio and strengthening its position in the LPG terminalling services sector. As the energy landscape continues to evolve, such strategic realignments may become increasingly common among key players in the industry.

Aegis Logistics Limited (ALL) has made a significant move in its business operations by finalizing an agreement to transfer its Liquefied Petroleum Gas (LPG) terminal to Aegis Vopak Terminals Limited (AVTL), its associate company. The deal, valued at ₹428.40 crore, marks a strategic restructuring within the Aegis group of companies.

Transaction Details

Aegis Logistics has transferred its newly commissioned LPG cryogenic terminal at Pipavav to Aegis Vopak Terminals Limited for ₹428.40 crore in cash. The Business Transfer Agreement (BTA) was executed on July 10, following the recent commissioning of the LPG terminal on July 3. The transaction involves the transfer of a cryogenic static storage facility with a capacity of 48,000 MT located at Pipavav. This transfer will be carried out as a slump sale on a going concern basis.

Strategic Rationale

The move is aimed at leveraging growing service demand and achieving operational synergy within the group. AVTL, which already manages LPG terminalling services at Pipavav port, will now own this additional capacity, potentially enhancing its operational efficiency and market position. The transaction aims to consolidate LPG terminalling services under AVTL.

Financial Implications

While the exact financial impact is yet to be determined due to the recent commissioning of the terminal, the transaction value of ₹428.40 crore underscores the significance of this asset transfer. As per the company's disclosure, the LPG terminal had not contributed to the turnover or net worth as of March 31, given its recent operational status.

Regulatory Compliance

Aegis Logistics has confirmed that the transaction is a related party transaction conducted on an arm's length basis. The company has also clarified that the sale falls outside the Scheme of Arrangement and does not trigger the provisions of Regulation 37A of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, as the LPG storage terminal does not meet the definition of an "undertaking" under these regulations.

Company Profiles

Aegis Logistics Limited (ALL)

Specializes in developing, owning, and operating shore-based tank farm installations in India, providing logistics solutions for oil, gas, chemicals, and petrochemical industries.

Aegis Vopak Terminals Limited (AVTL)

Focuses on operating and managing independent storage and handling facilities, including storage terminals and pipelines connected to vessel jetties for various products such as chemicals, oils, petroleum products, LPG, and other gases.

This strategic move by Aegis Logistics reflects the company's efforts to optimize its asset portfolio and strengthen its position in the LPG storage and handling sector. The transaction is expected to be completed on the same day as the agreement execution, July 10, marking a swift transition of the asset to AVTL's management.