India’s Aegis Logistics negotiates $1.5 billion acquisition of UAE’s Tristar
Mumbai-based Aegis Logistics is negotiating a $1.5 billion takeover of UAE energy logistics firm Tristar, signaling a major cross-border consolidation in a sector facing heightened geopolitical volatility.
India’s Aegis Logistics has initiated talks to acquire UAE-based Tristar in a deal valued at approximately $1.5 billion. The Mumbai-based company is currently in discussions with European and Indian private sector lenders to secure acquisition financing. Sources indicate the parties are holding bilateral negotiations under a pre-agreed exclusivity period, though the talks remain fragile and could still collapse.
Tristar operates transportation and storage services across more than 30 countries, serving major clients such as Abu Dhabi National Oil Company, Total SA, and Dow Inc. The company is majority-owned by Kuwait-based Agility Public Warehousing Company, which holds a 65.21 percent stake, alongside a 19.6 percent stake from Gulf Investment Corp. In 2025, Tristar generated $1.4 billion in revenue, a 14.4 percent increase, with controlled EBITDA holding steady at $257 million despite margin pressures in the maritime segment.
This potential transaction represents a significant consolidation effort in the energy logistics industry, which has experienced unprecedented volatility due to the ongoing Iran-US conflict. For Aegis, the acquisition would dramatically expand its global footprint beyond its current domestic network of LPG and liquid storage terminals at major Indian ports.
Financing and Expansion
To fund the takeover, Aegis is exploring a mixed financing structure. Sources suggest the company aims to refinance or roll over $600 million of existing debt at the target while raising an additional $400 million to $500 million in new debt. The remainder of the purchase price would be financed through equity.
Aegis is already embarking on a substantial capital expenditure cycle to support its broader growth. Management has outlined $1.2 billion in cumulative capex through March 2027, followed by another 5,000 crore rupees by March 2028, and a broader $5 billion investment opportunity through December 2030. Chief Financial Officer Murad Moledina stated this spending would be supported by a balanced mix of equity, internal accruals, and debt to maintain a fortress balance sheet.
The acquisition news comes as Aegis shares have surged 79.49 percent year to date, closing at 1,286.50 rupees per share on the Bombay Stock Exchange on Monday. The rally has been primarily driven by strong margins in the company’s LPG distribution segment, which accounts for roughly 90 percent of total revenue.
However, market observers caution that the stock’s rapid ascent may already reflect much of the near-term optimism. Abhisekh Nigam, an analyst at Motilal Oswal, noted that while the outlook for capacity addition and utilization-led growth remains constructive, current valuations are not inexpensive.
