Deal Description

1) Deccan Trans is a logistics solution provider with 43 agents across the globe handling liquid cargo tanks which contain wax, fatty acid and all types of liquid cargo be it hazardous or non- hazardous.

2) The current size of the fleet is 1500, out of which 267 is owned by the company and around 1250 is leased from the leasing company.

3) A few of the big customers of Deccan Trans are Aditya Birla Thailand and Indian entities , Unilever, Galaxy etc.

4) They require 600-700 tanks for next year to fulfill the orders which would increase the size of the fleet by 40% and the major market they are focusing on is Asia Pacific and Middle East.

5) The life of the tanks is 25-30 years and the scrap value of the tanks is 5K$.

6) They claim to have a profit margin of 3-4% from this year as they have connections with good agents across the world and the turnaround period will be less.

7) They are ready to provide tanks as security and are expecting a tenure of 5-7 years

8) They are going to utilize the funds in purchase of tanks and they are going to use a mixture of new and old tanks and it will increase the total fleet size to 2100 tanks.

Attached Files