Allcargo Logistics Completes Demerger of Global Supply Chain Business to Drive Focused Growth

Allcargo Logistics Completes Demerger of Global Supply Chain Business to Drive Focused Growth
Allcargo Logistics completes demerger of global supply chain business to drive focused growth

In a significant commercial move, Allcargo Logistics Limited, the top provider of integrated logistics solutions in India, has successfully demerged its International Supply Chain (ISC) division into Allcargo Global Limited, a new publicly traded company, with effect from November 1, 2025.

The action comes after an October 10, 2025, order from the Mumbai Bench of the National Company Law Tribunal (NCLT) approved it. The demerger is a component of a composite scheme of arrangement that also creates two separate companies with a more focused operational and strategic approach by combining Allcargo's domestic express distribution and consultative logistics operations into the new Allcargo Logistics Limited.

The Business Operation Dynamics Change After Demerger

Allcargo Global Limited will oversee the company's global supply chain and logistics operations as part of the reorganisation, while Allcargo Logistics Limited will combine the domestic contract logistics and express distribution companies, including Allcargo Gati Limited, GESCPL, and ASCPL.

The record date for calculating shareholder entitlements has been set by the Board of Directors as November 12, 2025. On a 1:1 ratio, Allcargo Logistics Limited's shareholders will each own one share in Allcargo Global and Allcargo Logistics. Following the demerger, Allcargo Gati Limited shareholders will get 63 shares of Allcargo Logistics Limited for every 10 shares they now own in Allcargo Gati. After obtaining all necessary statutory and regulatory clearances, Allcargo Global Limited will go public.

Allcargo Logistics Ltd. to Focus on India’s Express Distribution

After the reorganisation, Allcargo Logistics Limited will concentrate on the express distribution and consulting logistics industries in India, using its extensive network, technology-driven business practices, and customer-focused philosophy to assist MSMEs, retailers, and corporations.

Allcargo Global Limited will serve as the company's international branch, maintaining its position as a leader in global supply chain services and less-than-container load (LCL) consolidation. A representative for the company commented on the news, stating that this reorganisation is a significant step in Allcargo's quest to establish unique platforms for its local and international operations. It puts both organisations in a position to grow independently, provide more agility, and increase long-term value for all parties involved.

Quick Shots

•Allcargo Logistics Ltd has completed the demerger of its International Supply Chain (ISC) business into Allcargo Global Ltd, effective November 1, 2025.

•The move follows NCLT Mumbai’s approval on October 10, 2025.

•The demerger aims to create two independent, focused entities — one for global operations and another for domestic logistics.

•Allcargo Global Ltd will manage international supply chain and global logistics operations.

•Allcargo Logistics Ltd will focus on domestic express distribution and contract logistics, including subsidiaries like Allcargo Gati Ltd, GESCPL, and ASCPL.

•The restructuring enables sharper operational focus, improved agility, and independent growth strategies.

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