Shares of AVG Logistics Ltd surged 7.75% to touch a day’s high of Rs 189 on 26th December after the company said on 25th December that it had entered into a memorandum of understanding with Baidyanath LNG Private Limited, a firm engaged in developing liquefied natural gas infrastructure.

According to an exchange filing, the partnership aims to boost the use of LNG-powered transportation. This includes key industries such as steel and metals, FMCG, cement and other high-volume logistics segments.

Under the MoU, Baidyanath LNG will provide LNG-powered fleets and access to LNG filling stations. Meanwhile, it will work with AVG Logistics to develop customised LNG transport solutions. AVG, in turn, will offer LNG-based logistics services to its existing and potential customers. They will promote LNG as an alternative fuel.

AVG Logistics’ Managing Director and CEO, Sanjay Gupta, said the tie-up supports the company’s focus on sustainable and profitable growth. He added that LNG-powered fleets are expected to improve efficiency and reduce fuel costs. These measures will support margin expansion over the medium- to long-term.

Vaddadi Subbarao, Director of Baidyanath LNG, said the agreement will help expand LNG refuelling infrastructure across India. It will ensure uninterrupted LNG supply on key trucking routes, supporting cleaner heavy-duty transportation.

At 1:36 PM, shares of AVG Logistics were trading 4.43% higher at Rs 181.53 on NSE.

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