JSW Infrastructure announced its strategic expansion into the railway rakes business. The Company through its wholly owned subsidiary JSW Port Logistics has entered into a Share Purchase Agreement with JSW Shipping & Logistics to acquire 100% equity shares of JSW Rail Infra Logistics (JRIL), JSW Minerals Rail Logistics  (JMRL), and JSW (South) Rail Logistics (JSRL), for an Enterprise Value of Rs 1,212 crore (subject to working capital adjustments on the closing date).

The acquisition provides JSWIL immediate access to Indian Railways' General Purpose Wagon Investment Scheme (GPWIS), and Liberalized Special Freight Train Operator (LSFTO) schemes, securing a fleet of 21 rakes (as of 30th Nov-25) with 4 more under delivery, and long-term licenses under these programs. The transaction is EPS accretive from inception and aligns with JSWIL's strategy to build an end-to-end multimodal logistics platform integrating ports, terminals, ICD/CFS, and rail connectivity. This builds upon the Company's foray into a logistics sector through the acquisition of Navkar Corp in October 2024.

The Indian Railways sector is poised for significant growth, according to projections from Ministry of Railways, with freight volumes expected to rise from 1.6 billion tonnes in FY2025 to 3 billion tonnes by FY2030. During this period, rail's share of overall freight movement is targeted to increase from 27% to 45%, underscoring a strong focus on efficiency and sustainability.

In 2023, Indian Railways had imposed a moratorium on the issuance of new licenses under the GPWIS scheme for a period of two years which had been further extended until February 2027, ensuring significant head start for the established operators.

The business model for rake operators is particularly attractive, with dual income streams—rebates from Indian Railways and market premiums from customers resulting in stable, annuity-like revenues supported by steel, cement and other industries.