Delhivery provides a full range of Logistics services, including delivery of express parcel and heavy goods, PTL freight, TL freight, warehousing, supply chain solutions, cross-border Express, freight services, and supply chain software. The company also offers value-added services such as e-commerce return services, payment collection and processing, installation & assembly services, and fraud detection. Delhivery is the largest and fastest-growing fully integrated Logistics services player in India by revenue as of FY21.
The company has proprietary technology systems that enable it to offer integrated Logistics services to a wide variety of customers. Its technology stack consists of over 80 applications for all supply chain processes.
The company has built a nationwide network, servicing 17,045 PIN codes in the six months ended June 30, 2021, or 88.3% of the 19,300 PIN codes in India.
Its 164-network infrastructure includes 124 gateways, 20 automated sort centres, 83 fulfilment centres, 35 collection points, 24 returns processing centres, 249 service centres, 120 intermediate processing centres, and 2,235 direct delivery centres as of June 30, 2021. The company has engineering, data sciences, and product team of 474 professionals. The company served a diverse base of 21,342 active Customers across e-commerce, consumer durables, electronics, lifestyle, FMCG, industrial goods, automotive, healthcare, and retail.
Competitive strengths:
- Rapid growth, scale, and synergies across business lines
- Proprietary logistics technology systems
- Data intelligence capabilities
- An integrated portfolio of logistics services
- Asset-light business model enabling rapid scale up
- An experienced and entrepreneurial team from diverse backgrounds
Company Financials:
| Particulars | For the year/period ended (₹ in million) | ||||
|---|---|---|---|---|---|
| 31-Dec-21 | 31-Dec-20 | 31-Mar-21 | 31-Mar-20 | 31-Mar-19 | |
| Total Assets | 84,294.83 | 47,847.56 | 45,977.98 | 43,573.08 | 40,625.45 |
| Total Revenue | 49,114.06 | 28,065.29 | 38,382.91 | 29,886.29 | 16,948.74 |
| Profit After Tax | -8,911.39 | -2,974.92 | -4,157.43 | -2,689.26 | -17,833.04 |
Objects of the Issue:
The net proceeds from the IPO will be used for below purposes;
- Funding organic growth.
- Funding inorganic growth through acquisition and strategic initiatives.
- General corporate purposes.
Delhivery IPO Details
| Delhivery IPO Date | May 11, 2022 to May 13, 2022 |
| Delhivery IPO Face Value | ₹1 per share |
| Delhivery IPO Price | ₹462 to ₹487 per share |
| Delhivery IPO Lot Size | 30 Shares |
| Issue Size | [.] shares of ₹1 (aggregating up to ₹5,235.00 Cr) |
| Fresh Issue | [.] shares of ₹1 (aggregating up to ₹4,000.00 Cr) |
| Offer for Sale | [.] shares of ₹1 (aggregating up to ₹1,235.00 Cr) |
| Employee Discount | Rs 25 per share |
| Issue Type | Book Built Issue IPO |
| Listing At | BSE, NSE |
| QIB Shares Offered | Not less than 75% of the Net Offer |
| Retail Shares Offered | Not more than 10% of the Net Offer |
| NII (HNI) Shares Offered | Not more than 15% of the Net Offer |
| Company Promoters | It is a professionally managed company with no identifiable promoters. |
Delhivery IPO Timeline
Delhivery IPO opens on May 11, 2022, and closes on May 13, 2022. The Delhivery IPO bid date is from May 11, 2022 10.00 A.M. to May 13, 2022 5.00 P.M. The Cut-off time for UPI Mandate confirmation is 12 P.M. on the next day of issue closing day.
| Event | Date |
|---|---|
| Delhivery IPO Opening Date | May 11, 2022 |
| Delhivery IPO Closing Date | May 13, 2022 |
| Basis of Allotment | May 19, 2022 |
| Initiation of Refunds | May 20, 2022 |
| Credit of Shares to Demat | May 23, 2022 |
| Delhivery IPO Listing Date | May 24, 2022 |
Delhivery IPO Lot Size
The Delhivery IPO lot size is 30 shares. A retail-individual investor can apply for up to 13 lots (390 shares or ₹189,930).
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Minimum | 1 | 30 | ₹14,610 |
| Maximum | 13 | 390 | ₹189,930 |
Delhivery IPO Review
With continued losses, its IPO is priced with a negative P/E. Special accounting provisions kept its bottom lines in red for all these years despite growth in top lines. However, considering it’s improving adjusted EBITDA margins (from -11.35% for FY19 to -0.72% for 9MFY22) DL is on the verge of turning the corner in the near term. Though its IPO is priced very aggressively, considering its growth plans and bright prospects ahead, this is a pure long term “High Risk – High Yield” bet. Cash surplus/risk seeker well-informed Investors may consider parking of funds. Read detail review…
Delhivery IPO Recommendation by Members
Delhivery IPO Recommendations Details | Post Recommendation | Manage Recommendations
| Subscribe | Neutral | Avoid |
|---|---|---|
| 4 | 3 | 31 |
Delhivery IPO Subscription Status (Bidding Detail)
The Delhivery IPO is subscribed 1.16 times on May 13, 2022 1:59:00 PM. The public issue subscribed 0.46 times in the retail category, 1.98 times in the QIB category, and 0.03 times in the NII category. Check Day by Day Subscription Details (Live Status)
| Category | Subscription (times) |
|---|---|
| QIB | 1.98 |
| NII | 0.03 |
| Retail | 0.46 |
| Employee | 0.18 |
| Total | 1.16 |
Delhivery IPO Prospectus
Company Contact Information
Delhivery Limited
N24-N34, S24-S34, Air Cargo Logistics Centre-II,
Indira Gandhi International Airport,
New Delhi 110037 Delhi, India
Phone: +91 124 6225602
Email: cscompliance@delhivery.com
Website: https://www.delhivery.com/
Delhivery IPO Registrar
Link Intime India Private Ltd
Phone: +91-22-4918 6270
Email: delhivery.ipo@linkintime.co.in
Website: https://linkintime.co.in/