Warburg Pincus buys $100-mn stake in Continental Warehousing
12 Apr 2011
Private equity firm Warburg Pincus India Pvt. Ltd, has revealed that it has invested $100 million in logistics firm Continental Warehousing Corp (Nhava Sheva) Ltd.
Continental is the flagship company of the NDR Group, which has one of the largest warehousing networks in India with 6.5 million square feet of storage area in 70 locations.
Warbus Pincus has already deployed $2.5 billion in India. Continental will use the fresh infusion of funds to build more warehouses.
It plans to build terminals in Hyderabad, Ahmedabad and Panipat by the end of the financial year, said Amruthesh Reddy, executive director of the Chennai-based Continental company.
"Since the capital requirement is intensive," Continental aims to go public in the next 18 months to two years, Reddy said.
The company, previously, had raised funds from private equity firms Aureos India Advisers Pvt. Ltd, ePlanet Ventures and IL&FS Investment Managers Ltd (IIML). Warburg's investment comes after one of the early investors exited the deal, while the other two have sold part of their stakes. Reddy declined to give specifics.