Mumbai-based logistics company Gateway Distriparks (GDL) and c (ALL) have resolved their disputes mutually in context to Snowman Logistics’ share purchase by Adani Logistic. According to reports, GDL had initiated an arbitration proceeding against Adani Logistics about the proposed sale of entire shareholding held by GDL in Snowman Logistics to ALL in terms of the share purchase agreement dated 27 December 2019, as amended. The arbitration invoked by GDL against ALL is withdrawn, and the parties have signed a settlement agreement on 5 June 2020. The parties have agreed to the following key points which are brought to your attention
– Adani logistics has no right to purchase, and Gateway Distriparks has no obligation to sell its shareholding in Snowman to Adani logistics pursuant to the share and purchase agreement or otherwise.
– Gateway Distriparks will continue to remain the sole promoter of Snowman and shall be solely responsible for the management and business operations of Snowman.
– Adani logistics shall not be involved in the day to day management or business operations of Snowman. It shall not have a right to nominate or appoint any director on the Board (or committee(s)) of Snowman.
According to the press release, there are no further claims or counterclaims by either party about the sale and purchase agreement.
Snowman Logistics on an expansion mode
Snowman Logistics has announced a further capacity expansion and is currently adding to its pallet capacity across the country. The company has commenced construction at the Siliguri facility and is further adding pallet capacity to Taloja and Krishnapattanam facilities taking the total pallet capacity to 1,13,208 with a presence in 16 cities catering to the key markets of Mumbai, Chennai, Bengaluru, and Kolkata.
Construction in Siliguri prioritized basis customer demand wherein an existing set of customers wanted “global standard facilities” in line with other Snowman facilities across the country to reach out to the markets. Snowman will add 4200 pallets at Siliguri and expand Taloja (Mumbai) and Krishnapattanam facilities by a total of 3000 pallets. All these facilities are scheduled to be up and running before this financial year-end.
Snowman’s comprehensive network of clients, source, and consume temperature-sensitive products in bulk amounts. It offers various services like dairy products, including butter and cheese, canned food items, poultry and meat, seafood, healthcare, and pharmaceutical products.