GP Petroleums Limited (GPPL) is stepping into India’s logistics infrastructure sector with a proposed investment of approximately Rs 44.27 crore in Incubit Pipavav Terminal Private Limited (IPTPL), marking a strategic push beyond its core lubricants business.

 

The company’s board has approved the investment, which will give GPPL a minority equity stake alongside management control of IPTPL, subject to definitive agreements and applicable closing conditions.

 

IPTPL operates a liquid-storage terminal at Pipavav Port in Gujarat, offering GPPL an entry point into port-linked logistics, storage and handling services. The move is aimed at diversifying revenue streams, strengthening supply-chain resilience and building a new source of recurring income alongside its existing operations.

 

GPPL plans to explore stronger connectivity between the terminal and hinterland markets, assess expansion opportunities at Pipavav and evaluate further investments in logistics infrastructure.

 

Ayush Goel, Chairman & Managing Director of GP Petroleums Limited, said: “We see Pipavav as the first step towards building a broader logistics infrastructure business alongside our core lubricants operations. Securing management control through a minority investment gives us a platform to connect port infrastructure with hinterland demand and participate in India’s growth. 

 

"Our aim is to develop recurring storage and terminal income that strengthens the resilience of our cash flows over time. We will evaluate expansion and other opportunities with a focus on disciplined investment and long-term value creation.”

 

The shares will be acquired from existing IPTPL shareholders, potentially in multiple tranches over one year. GPPL will fund the transaction through its internal reserves.

 

The final consideration may change depending on revisions to IPTPL’s share valuation. Completion remains subject to the fulfilment or waiver, as applicable, of conditions precedent and compliance with relevant statutory and regulatory requirements.

 

The proposed deal represents a strategic broadening of GPPL’s business portfolio, positioning the company to explore opportunities in liquid-storage infrastructure and port-linked logistics while seeking to build more diversified and resilient cash flows.