Navkar Corporation Limited , a leading integrated logistics service provider, has announced a significant move to strengthen its strategic partnership with JSW Steel Limited. The company has issued a postal ballot notice seeking shareholder approval for a material related party transaction with JSW Steel, potentially worth Rs 725 crore over the next three financial years.

Transaction Details

The proposed transaction involves a range of logistics services, including:

1. Cargo handling
2. Multimodal transportation
3. Stockyard services
4. Rail handling
5. Reimbursement of expenses

The transaction values, excluding applicable taxes, are proposed as follows:

Strategic Importance

This move comes in the wake of JSW Port Logistics Private Limited, a wholly-owned subsidiary of JSW Infrastructure Limited, acquiring a 70.37% equity stake in Navkar Corporation through a share purchase agreement dated June 27, 2024. As a result, JSW Steel Limited is now considered a related party to Navkar Corporation under SEBI Listing Regulations.

Leveraging Existing Infrastructure

Navkar Corporation plans to utilize its existing infrastructure to provide these services, including:

• Stockyards at Panvel and Wadharva
• Private Freight Terminals (PFTs) at Panvel and Morbi
• In-house railway rakes
• Trucking fleet

The company operates these facilities to handle both EXIM and domestic cargo, offering integrated, cost-effective logistics solutions to JSW Steel.

Expansion Plans

Navkar Corporation has indicated plans to develop additional stockyards and warehouses to support increased volumes of steel and other group cargo. This expansion is expected to enhance asset utilization, optimize logistics operations, and generate cost savings in JSW Steel's supply chain management processes.

Shareholder Approval Process

The e-voting period for shareholders to cast their votes on this proposal runs from October 19, 2025, to November 17, 2025. The Audit Committee and Board of Directors have already approved the transaction, confirming it is conducted at arm's length basis and in the ordinary course of business.

Financial Impact

The proposed transaction represents approximately 31% of Navkar Corporation's annual turnover, highlighting its significance to the company's operations. For JSW Steel, the transaction value amounts to about 0.09% of its consolidated turnover, based on the immediately preceding financial year's figures.

Conclusion

This strategic move by Navkar Corporation to deepen its relationship with JSW Steel could potentially lead to sustainable growth, improved operational efficiency, and long-term value creation for the company and its shareholders. As the logistics sector continues to evolve, such partnerships between major players in the steel and logistics industries may set new benchmarks for integrated supply chain solutions in India.

Shareholders will play a crucial role in determining the future of this significant transaction, with their votes deciding whether Navkar Corporation can proceed with this extensive logistics service agreement with JSW Steel Limited.

JSW Infrastructure, India's second-largest private commercial port operator, has announced strong financial results for the second quarter of fiscal year 2026, demonstrating significant growth across key metrics.

Financial Highlights

The company reported a substantial increase in its total revenue, which rose by 26% year-over-year to ₹1,372.00 crore in Q2 FY2026. This growth was primarily driven by a 26% increase in operational revenue, which reached ₹1,266.00 crore.

JSW Infrastructure's EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) also saw a notable improvement, growing by 18% to ₹716.00 crore compared to the same quarter last year. The EBITDA margin stood at a healthy 52.20%, albeit slightly lower than the 55.80% reported in Q2 FY2025.

Despite the strong top-line growth, the company's Profit After Tax (PAT) experienced a marginal decline of 1% year-over-year, settling at ₹369.00 crore for the quarter.

Operational Performance

The company handled a total cargo volume of 28.90 million tonnes (MT) in Q2 FY2026, representing a 3% increase from the previous year. This growth was achieved despite challenges in certain segments:

• Group cargo volume increased by 6% year-over-year, driven by strong performances at South West Port, Jaigarh Port, and Dharamtar Port.
• The company's subsidiary, Navkar Corporation , delivered robust results with domestic cargo volumes up by 46% and EXIM (Export-Import) cargo volumes increasing by 20% compared to Q2 FY2025.
• However, overall growth was moderated by a 2.10 MT shortfall at the Paradip Iron Ore terminal, attributed to weak seaborne iron ore export market conditions.

Strategic Developments

JSW Infrastructure has made significant strides in its expansion and diversification strategy:

1. The company successfully concluded public hearings for its proposed Greenfield ports at Keni (Karnataka) and Murbe (Maharashtra).
2. It acquired an 86-acre brownfield rail siding in Kudathini, Ballari (Karnataka), which is being developed into a state-of-the-art Multi-Modal Logistics Park (MMLP).
3. A 30-year concession agreement was signed with Syama Prasad Mookerjee Port Authority, Kolkata, for the reconstruction and mechanisation of berths with a total capacity of 0.45 million TEUs (6.30 MTPA).

Financial Position

JSW Infrastructure maintains a strong balance sheet with a net debt of ₹1,810.00 crore as of September 30, 2025. The company reported cash and bank balances of ₹3,088.00 crore, positioning it well for future growth opportunities. The Net Debt to Operating EBITDA ratio stands at a comfortable 0.75x.

In a significant milestone, JSW Infrastructure secured an Investment Grade Rating (BBB-/Stable) from both S&P Global Ratings and Fitch Ratings, underscoring its financial stability and growth prospects.

Outlook

With its strong financial performance, strategic expansions, and robust balance sheet, JSW Infrastructure appears well-positioned to capitalize on growth opportunities in India's port and logistics sector. The company's focus on diversifying its cargo mix and expanding its logistics network is likely to drive sustainable growth in the coming years.

As India's infrastructure sector continues to develop, JSW Infrastructure's strategic initiatives and financial strength place it in a favorable position to benefit from the country's growing trade and economic activities.