Gateway Distriparks IPO Details

Incorporated in 1994, Gateway Distriparks Limited (GDL) is one of India's leading port-related logistics companies, providing end-to-end container freight and warehousing solutions across key ports and industrial hinterlands in India. The company is promoted by the Windmill Group and Thakral Group from Singapore, Parameswara Holdings Ltd., and Mr. Prem Kishan Gupta along with Prism International Pvt. Ltd. from India.

GDL started its journey with a single Container Freight Station (CFS) near Jawaharlal Nehru Port (JNP) in Navi Mumbai and has since grown into the only private sector player in India with a true pan-India presence — operating across the west coast, north India hinterland, south India, and the east coast. The company handles the entire logistics chain for import and export container cargo, right from the port to the warehouse and back.

• CFS at Navi Mumbai (Dronagiri): Located just 9 kms from JNP — India's largest container port — this facility has a handling capacity of 2,16,000 TEUs per annum and has grown at a CAGR of 39.5% over the last four years. It is one of the best-equipped private CFSs in the country with 7 reach stackers, 71 tractor-trailers and a fully automated IT-enabled tracking system.
• ICD at Garhi Harsaru, Haryana: Acquired in April 2004, this Inland Container Depot is strategically located 40 kms from Delhi and serves the industrial belts of Gurgaon, Manesar, Dharuhera, and can cater to markets in Punjab, Rajasthan, Uttar Pradesh and Haryana. A railway siding is being set up to connect the ICD directly to major gateway ports.
• CFS at Chennai (through Indev): GDL recently acquired 100% stake in Indev Warehouse and Container Services Pvt. Ltd., which operates a CFS located 16 kms from Chennai port — India's second largest container terminal. The facility has a capacity of 40,000 TEUs per annum and also caters to the upcoming Ennore container terminal.
• CFS at Visakhapatnam (Gateway East India Pvt. Ltd.): A greenfield CFS being set up as a 60:40 joint venture with the Suri Group, located 9 kms from the new container terminal at Vizag port. Phase I is underway and operations are expected to commence in April 2005.

Across its three operating facilities, GDL manages a total of 119.31 acres of land with a developed container yard of 1,21,094 sq. metres and 46,095 sq. metres of warehouse space. The company offers a full range of services including container storage and handling, bonded and general warehousing, customs facilitation, container repair, stuffing and de-stuffing, palletisation, shrink wrapping, bar code scanning and trucking.

GDL has delivered consistent financial growth over the years — revenues grew from Rs. 39.16 crores in FY 2001-02 to Rs. 59.76 crores in FY 2003-04, a CAGR of 23.5%. Net profit more than doubled from Rs. 7.52 crores to Rs. 19.13 crores during the same period. For the eight months ended November 2004, the company reported revenues of Rs. 52.25 crores and a net profit of Rs. 16.60 crores. The company has also maintained a healthy gearing ratio of 0.26 as of November 2004, reflecting strong financial discipline.

Major shipping lines like APL, P&O and CMA are among GDL's key clients, along with leading consolidators such as Fritz, Expeditors and Kuehne & Nagel. The company counts Temasek Holdings' registered FII arm Aranda and IDFC among its institutional investors, reflecting strong confidence from marquee financial institutions in GDL's business model.

Competitive Strengths:

• Only private sector logistics company with a true pan-India presence across west coast, north, south and east coast of India
• Strategically located facilities near India's top container ports — JNP, Chennai and Vizag
• Strong CAGR of 39.5% in volume handled at the flagship Navi Mumbai CFS over four years
• Asset-light variable cost model with outsourced labour and transportation linked to TEU volumes
• Robust IT infrastructure including WOPS system and real-time EDI connectivity with customs at JNP
• Backing from marquee institutional investors including Temasek Holdings (Aranda) and IDFC
• Railway siding being set up at Garhi ICD for direct rail connectivity to major ports