The company will look at targets in Switzerland and Italy, both countries where several high value lifestyle brands, including jewelers, are headquartered.
Sequel moves big ticket items like gems and jewelry; bullion; financial instruments; expensive fashion accessories and high value auto parts across India. An acquisition in Europe will help it establish a local footprint in that region and tap potential customers, looking for secured logistics services in India, at the source, Guha adds.
The scope of activity in India or in Europe is not very different. And the existing market conditions in Europe are better suited to make acquisitions, Guha says.
A recent PTI report pegs the size of the Indian logistics industry at between USD80 billion to USD100 billion. Critical or high value logistics could make up about 20 percent of the overall logistics business, mentions Guha.
The seven-year old company, started by founder director Sharad Jobanputra and owned by the founding family, could tap the private equity route to raise funds for an acquisition, the CEO said.
The company customizes its offerings depending on client needs. “We are not a regular courier service. A 3:00am pick-up or late night deliveries can be handled only by us,” he mentions.
Sequel has only scratched the surface as far as the market for critical cargo movements in India goes, said Guha. Any industry will need specialized services to move high value goods and the scope to scale up is huge, he addeed.
Sequel Logistics recorded a CAGR of 92 percent over the last three years, said Guha. The next two years will see it focus on growing its client base across industry verticals given that it has built a “zero defect” network, connecting over a 130 cities and towns in India, serviced from 33 offices on the ground.