According to reports, Reliance Industries will ‘dilute’ its stake in the freight services firm, Deccan 360, which is now dealing with increase in operating costs, low business volumes and intends to cut its staff to reduce cost by 40%.

Deccan 360, which is owned by GR Gopinath, founder of India's first budget airline, Air Deccan, has halted its air cargo service and brought down its surface transport operation, as an attempt to ‘put the brakes on plummeting fortunes’.

Also, the company’s Chief Executive, HL Rikhye said, "Reliance have conveyed that they would not like to invest further but are morally and otherwise supportive of the business venture, also they will not mind a dilution of their stake if any other player wants to come and partner".

However, Reliance, managed by billionaire Mukesh Ambani, is reported to have invested over 100 crore in the firm in April last year, anticipating to enhance the supply chain as well as logistics operations for its retail business.

Moreover, Deccan 360 is said to venture into a new area in its international non-scheduled cargo operations, utilizing its position as the only ‘player’ in the growing segment, as it examines the operations of charter cargo from the international markets.