📰 Sical Logistics Secures Term Loan from Aditya Birla Capital, Pledges Shares Across Group Entities
In a significant move to strengthen its capital structure, Sical Logistics Ltd, a key player in India’s logistics and port services sector, has secured a term loan from Aditya Birla Capital Ltd. The financing arrangement is backed by a pledge of shares held across multiple group entities, signaling strategic asset leveraging to enhance liquidity and growth potential.
💼 Loan Details and Collateral
According to the filing with regulatory authorities, the term loan was finalized with Aditya Birla Finance, a subsidiary of Aditya Birla Capital. While the exact loan amount remains undisclosed, sources indicate that it involves a sizeable debt facility aimed at refinancing existing obligations and supporting working capital requirements.
To secure the loan, Sical has pledged shares from various group companies, including subsidiaries and promoter holdings—an approach often used to gain favorable terms on interest rates and repayment flexibility.
🚚 About Sical Logistics
Founded in 1955 and later acquired by Coffee Day Group, Sical Logistics operates in:
Port handling
Road and rail transport
Container freight stations
Customs house agency
Despite operational challenges in recent years, the company is focused on reviving growth through debt restructuring and capital infusion.
📈 Strategic Implications
This development is likely to:
Improve short-term liquidity for operational scalability.
Signal creditworthiness to potential investors.
Support long-term projects in the bulk and container cargo sectors.
Given that India’s logistics industry is undergoing rapid transformation with the advent of Gati Shakti and PM Gati Shakti National Master Plan, Sical’s access to fresh funding puts it in a better position to capitalize on the logistics infrastructure boom.
❓ Frequently Asked Questions (FAQs)
Q1: Why did Sical Logistics pledge shares to secure the loan?
Pledging shares helps offer collateral, which improves loan terms such as interest rates and tenure flexibility.
Q2: How will this loan benefit Sical Logistics?
The term loan will be used for debt refinancing, working capital, and expansion efforts in logistics services.
Q3: Who is the lender in this deal?
Aditya Birla Capital, through its NBFC arm Aditya Birla Finance, has extended the term loan.
Q4: Is Sical Logistics a listed company?
Yes, Sical Logistics is listed on Indian stock exchanges and has been under the radar due to financial restructuring.
Q5: What sectors does Sical Logistics operate in?
Sical operates in port handling, bulk cargo, surface transport, and container logistics.
📝 Conclusion
Sical Logistics’ decision to secure a term loan from Aditya Birla Capital by pledging group shares highlights its proactive steps toward financial revival. With the logistics sector gaining policy tailwinds, this strategic move positions Sical for a potential turnaround.
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Reported by Benny on June 17, 2025.