Tata Motors will purchase a 26.79% stake in Freight Tiger for Rs 150 crore

20 Oct 2023 , 11:01 AM

On Thursday, Tata Motors said that it has signed an agreement to pay Rs 150 crore for a 26.79% share in the digital platform Freight Tiger. The Mumbai-based auto manufacturer stated in a regulatory filing that the business and Freight Commerce Solutions have inked a shareholders agreement (SHA) and a securities subscription agreement (SSA) for the acquisition of the stake in Freight Tiger.

It further stated that the SSA contains a clause that permits Tata Motors to make additional investments totaling Rs 100 crore over the following two years at the then-current market value. A digital platform called Freight Tiger offers complete logistics value chain solutions for the nation’s cargo flow.

In addition to providing a range of software as a service (SaaS) solutions to digitise and streamline logistics interactions like freight tracking, assignment, carrier matching, documentation, and payment processing, the platform links shippers, carriers, logistics service providers, and fleet owners to a single digital marketplace.

In approximately the past seven years, the platform has integrated and eliminated inefficiencies in cargo transfers, facilitating approximately 10 million journeys annually.

‘We are dedicated to revolutionizing the road logistics sector with our cutting-edge products and services. We think we can provide value for our main clients, the fleet owners, by involving more parties and going deeper in our efforts to increase the effectiveness of road logistics,’ stated Girish Wagh, executive director of Tata Motors, to ET.

Software-led strategies, according to the founder and CEO of Freight Tiger Swapnil Shah, are the key to transforming current industry assets and boosting their effectiveness for the benefit of all stakeholders.

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