The world's biggest private equity firm, Blackstone Group is all set to invest around Rs 240 crore to purchase 10.38% stake in Mumbai-based logistics firm Allcargo Global.

Besides, the US-based company has also expressed its intention to buy another 4.61% of the enhanced paid up equity from the open market.

Allcargo will issue 1,000 equity shares and 1,081,081 fully and compulsorily convertible debentures (FCCD), convertible into an equal number of equity shares, at Rs 934 each to Blackstone.

The company will also issue 1,513,514 warrants, convertible into equal number of equity shares at the choice of the investors from the date of issuance, between Rs 934 and Rs 1,284 per warrant.

Shashi Kiran Shetty, Allcargo Chairman and Managing Director said, “With their global reach and a pro-active approach, they bring immense value to the company. This investment will allow us to execute our organic and inorganic growth plans and continue to strengthen our leadership position in the logistics space.”

Blackstone Advisors India Chairman and Managing Director Akhil Gupta stated, “We are confident that the Indian logistics sector will experience significant growth in the coming years. India is seeing buoyant economic growth, improvements in infrastructure and a rationalisation of the country’s tax structures and Allcargo is an ideal platform for Blackstone to be in this highly attractive sector.”

Allcargo’s shares closed at Rs 772.50, up 8.1%, on Wednesday on the Bombay Stock Exchange (BSE).