GP Petroleums to Invest ₹44.27 Crore in Incubit Pipavav Terminal to Secure Port Storage Access

Summary

Lubricants maker GP Petroleums has approved a strategic equity investment of about ₹44.27 crore in Incubit Pipavav Terminal Private Ltd, a bulk liquid storage operator at Pipavav Port in Gujarat. The deal, funded from internal reserves and executed in tranches over up to a year, aims to give the company access to tank storage and terminal infrastructure supporting its supply chain and trading.

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Mumbai: GP Petroleums Ltd has approved an investment of about ₹44.27 crore in Incubit Pipavav Terminal Private Ltd (IPTPL), which operates a bulk liquid storage terminal at Pipavav Port in Gujarat.

The company announced the decision on October 13, 2026, saying the deal could give it access to tank storage, rental space and terminal infrastructure to support its supply-chain and trading operations.

What are the deal terms?

GP Petroleums will buy shares from certain existing IPTPL shareholders at ₹10.80 per share, subject to any change in valuation. The purchases may be completed in multiple tranches over up to one year and will be funded from internal reserves.

The final number of shares and GP Petroleums’ eventual stake have not been disclosed. The deal remains subject to conditions under the share purchase agreement and to statutory, regulatory, corporate and third-party approvals.

The company said the deal is not a related-party transaction under the Companies Act. However, the purchase of shares from Anita Goyal, a member of the promoter group, counts as a related-party transaction under SEBI listing rules. GP Petroleums said this purchase would be at arm’s length and is backed by an independent valuation.

What is Incubit Pipavav Terminal?

IPTPL, formerly Gulf Petrochem (India) Private Ltd, handles bulk petroleum and other liquid products at Pipavav. Its turnover rose to ₹38.48 crore in FY2025-26 from ₹25.32 crore in FY2024-25.

When Gulf Petrochem commissioned the terminal in 2015, it had a total capacity of about 250,000 kilolitres across 46 tanks, an exclusive oil berth with a 12-metre draft for vessels of up to 40,000 tonnes, and road and rail connectivity. The tanks were designed for petroleum products, chemicals, vegetable oil, lube base oil, fuel oil and bitumen, with about 20,000 cubic metres set aside for base oils.

Why does GP Petroleums want the terminal?

GP Petroleums makes and markets lubricants, greases and rubber process oils under its IPOL brand and trades base oil, fuel oil and bitumen. For such a business, inventory planning, raw material availability and logistics costs directly affect margins.

In FY2025-26, its manufacturing segment revenue rose to ₹535.68 crore from ₹503.56 crore, while trading revenue was broadly flat at ₹106.93 crore. Trading segment profit fell to ₹1.44 crore from ₹3.10 crore, underlining the importance of efficient sourcing and logistics.

The deal is sizeable for the company. At ₹44.27 crore, it equals about 6.9% of GP Petroleums’ FY2025-26 consolidated revenue of ₹642.61 crore.

Were there other board decisions?

The board accepted Arjun Verma’s resignation as Chief Financial Officer, effective October 15, 2026, citing personal reasons. He will continue as whole-time director and executive director. Shirish Suvagia has been appointed CFO from the same date.

Why does it matter?

Port-linked liquid storage is becoming a strategic asset for lubricant and petroleum product companies that rely on imported base oils. Owning a stake in a terminal at Pipavav, which serves north-western India by road and rail, could give GP Petroleums more control over import logistics, storage costs and inventory timing. The deal also reflects a wider trend of cargo owners investing in port-side infrastructure to secure supply chains.

FAQs

How much is GP Petroleums investing in Incubit Pipavav Terminal?

About ₹44.27 crore, funded from internal reserves.

At what price will GP Petroleums buy the shares?

It will acquire shares at ₹10.80 each, subject to any change in valuation, over up to one year.

What is Incubit Pipavav Terminal?

A bulk liquid storage terminal operator at Pipavav Port in Gujarat, formerly known as Gulf Petrochem (India) Private Ltd.

Why is GP Petroleums making the investment?

To gain access to tank storage and terminal infrastructure supporting its lubricant manufacturing and petroleum product trading.

Who is GP Petroleums’ new CFO?

Shirish Suvagia takes over as CFO from October 15, 2026, replacing Arjun Verma.