Thomas Cook board OKs Hindustan Cargo sale to Allcargo

New Delhi, Jan 2 (UNI) Thomas Cook India Ltd today said its Board has decided to divest its wholly-owned subsidiary Hindustan Cargo Ltd (HCL), an airfreight and logistic provider, to Allcargo Global Logistics Ltd.

Hindustan Cargo Ltd would be made an independent airfreight services subsidiary of Allcargo, a statement issued said.

However, the deal amount and other details have not been disclosed by the company.

Allcargo recently said that it plans to double capital expenditure to Rs 50-60 crore in the next 12 months and expects its specialised cargo revenues to surge on rising demand.

It acquired Belgium-based ECU Hold NV in May.

The company is one of the leading LCL (Less than a Container Load) consolidator in India offering direct outbound and inbound LCL groupage services to and from major cargo destinations worldwide.

The company derives 70 per cent of its revenue from material handling and the rest from its fledgling freight stations.

UNI