VRL Logistics places order for 1,200 trucks

The share of VRL Logistics was trading up by more than 5 per cent on Wednesday. The company has placed an order for 1,200 trucks. At 14:33 hours, on Wednesday, the stock of VRL Logistics was at Rs. 421.00 per share, up by Rs. 22.65 or 5.69 per cent.

The company has placed an order with Ashok Leyland for 1,200 trucks, at Rs. 350 crores approximately, which includes 600 trucks of AL 3123 make and 600 trucks of AL 3723 make. The Company proposes to purchase truck chassis from Ashok Leyland and would construct the truck bodies in-house.

Currently, the company has in total 3,989 trucks. The company has a hub and spoke model and its capacity utilization is full. The trucks being added have a capacity of 19MT /24MT and would lead to an increase in the company's fleet and reduce the dependency on outside vehicles, said the company. The company expects a huge potential for business growth under the GST regime and has seen an increase in enquiries for freight movement.