Fairfax buys 51% in Saurashtra Freight for $30 million

Saurashtra Freight runs the largest CFS at Mundra Port in Gujarat

Prem Watsa's Fairfax India Holdings through its wholly owned subsidiary Fairfax India has entered an agreement to buy 51 per cent equity in Saurashtra Freight for $30 million (around Rs 200 crore).

The money will be used to acquire the container freight station business from Saurashtra Infra and Power and for future expansion.

The transaction is subject to customary closing conditions and is expected to be concluded in the first quarter of 2017.

Saurashtra Infra runs the largest container freight station at Mundra Port in Gujarat. The station provides services such as moving of containers to and from the port, stuffing and destuffing of containers, cargo storage and transportation of cargo to the end customer, and storage, maintenance and repair of empty containers.

"We are impressed with the company's growth under the leadership of its managing director Raghav Agarwalla. We look forward to a long-term partnership with Raghav to grow Saurashtra Freight into a leading logistics company in the country," said Prem Watsa, chairman of Fairfax India.

Agarwalla said Fairfax India's long-term orientation and decentralised management style would help expand the business to all major ports in India.