InvestorQ : Can you tell me about the company Delhivery Ltd, which is going for an IPO next week? What is the size of the issue and when is the issue opening and closing?
swati Bakhda made post

Can you tell me about the company Delhivery Ltd, which is going for an IPO next week? What is the size of the issue and when is the issue opening and closing?

Answer
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Sam Eswaran answered.
1 week ago
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Delhivery Ltd is a new age logistics company with a pedigree of nearly 11 years in the market. It is currently, one of the fastest growing players in the field. Delhivery offers complex supply chain solutions to over 23,300 customers in India. Its main customers are the ecommerce marketplaces, DTC e-tailers, third party inventory holders, SMEs etc.

Delhivery focuses on the process flow and the technology enablement of the process flow with a network of partners and feet-on-street handling the actual action. The IPO size was originally supposed to be Rs.7,460 crore but was later curtailed by 30% to Rs.5,235 crore due to the headwinds on the geopolitical and macro front.

Particulars

Key IPO Details

Particulars

Key IPO Details

Nature of issue

Book Building

Issue Opens on

11-May-2022

Face value of share

Rs.1 per share

Issue Closes on

13-May-2022

IPO Price Band

Rs.462 - Rs.487

Basis of Allotment date

19-May-2022

Market Lot

30 shares

Refund Initiation date

20-May-2022

Retail Investment limit

13 Lots (390 shares)

Credit to Demat

23-May-2022

Retail limit - Value

Rs.189,930

IPO Listing date

24-May-2022

Fresh Issue Size

Rs.4,000 crore

Fresh Issue (No. of shares)

8,21,35,524

Offer for Sale Size

Rs.1,235 crore

Offer for Sale (No. of shares)

2,53,59,343

Total IPO Size

Rs.5,235 crore

Indicative valuation

Rs.35,284 crore

Listing on

BSE, NSE

HNI Quota

15%

QIB Quota

75%

Retail Quota

10%

(BRLMs) – Kotak, Morgan Stanley, BOFA Securities, Citigroup (Registrar) – Link In Time India

Unlike the normal booking and delivery names in the market, Delhivery is a more sophisticated name in modern supply chains. It operates through a very widely outsourced network of partners but it Delhivery has the IP for the technology backbone, the algorithm logic etc. This makes their model scalable and a low cost / high ROE model.

Its network is quite formidable. For instance, Delhivery operates 21 fully and partially automated sortation centres across India. This gives Delhivery the capacity to handle 3.7 million shipments daily. It covers a total of 17,488 PIN codes, which is nearly 90% of the total pin codes available in India. It has the widest coverage among Indian logistics players.
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