JSW Group stock jumps as it plans to acquire 3 rail logistics companies for ₹1,212 Cr

Synopsis: JSW Infrastructure is acquiring full ownership of three rail logistics companies through its subsidiary to strengthen transport operations, with a total cost of this acquisition at around ₹1,212 crore.

This JSW Group Stock, engaged in developing, operating, and managing ports, terminals, and logistics services for diverse cargo across India, the UAE, and Oman, is in focus after planning to acquisition of three rail logistics companies worth Rs. 1,212 crore through its subsidiary.

With a market capitalization of Rs. 54,915.04 crores, the share of JSW Infrastructure Limited has reached an intraday high of Rs. 265.55 per equity share, rising nearly 0.99 percent from its previous day’s close price of Rs. 262.95. Since then, the stock has retreated and is currently trading at Rs. 261.50 per equity share. 

What is the News?

JSW Infrastructure Limited is acquiring 100 percent ownership of three railway logistics companies, JSW Minerals Rail Logistics, JSW Rail Infra Logistics, and JSW South Rail Logistics, through its wholly owned subsidiary, JSW Port Logistics Private Limited. The total cost of this acquisition is Rs. 1,212 crore based on enterprise value. This move will help JSW Infrastructure strengthen its logistics and rail transportation capabilities to support its port operations.

As per the report of PwC Business Consulting Services LLP, the fair value of JSW Minerals Rail Logistics is estimated at Rs. 488.2 crore, JSW Rail Infra Logistics at Rs. 242.8 crore, and JSW South Rail Logistics at Rs. 14 crore. The total combined valuation stands at about Rs. 745 crore.

The transaction is expected to improve operational efficiency, ensure better control over cargo movement, and support long-term growth. This acquisition will also give JSW Infrastructure faster access to key railway routes and strengthen its integrated logistics network across India

Capacity Expansion

JSW Infrastructure Limited currently has a total handling capacity of over 177 million tonnes per year, and this is expected to grow significantly to around 299 million tonnes by FY28 and 400 million tonnes by FY30 as the company continues to expand its port and terminal operations.

Management Guidance for 2030

JSW Infrastructure has outlined ambitious growth targets for FY30, with a revenue goal of Rs. 8,000 crore and an EBITDA target of Rs. 2,000 crore. To achieve these objectives, the company plans to invest around Rs. 9,000 crore as capital expenditure between FY25 and FY30. This aggressive expansion strategy reflects the company’s strong focus on long-term growth and capacity enhancement.

Company Overview

JSW Infrastructure Limited is a leading private port operator in India, incorporated in 2006 as part of the JSW Group, a major Indian conglomerate with interests in steel, energy, and other sectors.

The company focuses on developing, operating, and maintaining port facilities and related infrastructure along India’s east and west coasts. It handles diverse cargo types, including dry bulk, liquid bulk, containers, and gases, through efficient maritime services.

JSW Infrastructure provides key services like cargo handling, storage, logistics, and value-added solutions, operating around 10 ports and terminals in India, plus one in the UAE and Oman, with a total operational capacity exceeding 177 million tonnes per annum.​

Recent quarter results

Coming into financial highlights, JSW Infrastructure Limited’s revenue has increased from Rs. 1,001 crore in Q2 FY25 to Rs. 1,266 crore in Q2 FY26, which has grown by 26.47 percent. The net profit has decreased by 1.34 percent from Rs. 374 crore in Q2 FY25 to Rs. 369 crore in Q2 FY26.

JSW Infrastructure Limited’s revenue and net profit have grown at a CAGR of 31.39 percent and 50.5 percent, respectively, over the last five years. In terms of return ratios, the company’s ROCE and ROE stand at 13.9 percent and 16.2 percent, respectively. JSW Infrastructure Limited has an earnings per share (EPS) of Rs. 7.55, and its debt-to-equity ratio is 0.52x.

Written By – Nikhil Naik

Disclaimer

The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.

The post JSW Group stock jumps as it plans to acquire 3 rail logistics companies for ₹1,212 Cr appeared first on Trade Brains.