Delhivery is a logistic service provider company. It has various optical options for its customers like Cross Border Express serve, Freight Services, TL freight, Heavy Goods express delivery, warehousing, Supply chain softwares etc. It is one of the fastest growing logistics providers in India. Till date the company renders its services across more than 17000 Pin Codes in India which is close to 90% of Indian Region.
The company’s networking is spread across 124 gateways, 24 returns processing centres, 249 service centres, 20 automated sort centres, 120 intermediate processing centres, 83 fulfilment centres and 2235 direct delivery centres. The company has a team of data sciences, product and engineering team of 474 people.
IPO DETAILS
Delhivery Limited IPO is set to launch on 11th May, 2022. The subscription timeline extends till 13th May, 2022. The size for the IPO is 5235 Crore Rs.. Shares issued through Offer For Sale are worth Rs. 1235. Shares issued through Fresh Issue are worth Rs. 4000 Crore. The lot size is 30 shares and the price range is 462 Rs. – 487 Rs./ share. The company is going to get listed at both the exchanges NSE and BSE. The face value per share is Re. 1 and this is a book built issue. The registrar for the company is Link Intime India Private Limited.
TABULAR REPRESENTATION OF IPO DETAILS
| IPO OPENING DATE | 11th May, 2022 |
| CLOSING DATE FOR IPO | 13th May, 2022 |
| ISSUE TYPE | Book Built Issue |
| Face Value per share | 1 Re. per share |
| IPO price band | 462 Rs. – 487 Rs. |
| LOT SIZE | 30 shares |
| MINIMUM ORDER QUANTITY | 30 shares |
| ISSUE SIZE | 5235 Crore Rs. |
| OFFER FOR SALE | 4000 Crore Rs. |
| FRESH ISSUE | 1235 Crore Rs. |
| LISTING AT | NSE, BSE |
| LISTING DATE | 24th May, 2022 |
IMPORTANT DATES
| IPO OPENING DATE | 11th May, 2022 |
| CLOSING DATE FOR IPO | 13th May, 2022 |
| IPO ALLOTMENT DATE | 19th May, 2022 |
| REFUNDS | 20th May, 2022 |
| DEMAT A/C CREDITED ON | 23rd May, 2022 |
| IPO LISTING DATE | 24th May, 2022 |
Delhivery Limited IPO begins for subscription from 11th May, 2022. The IPO subscription would continue till 13th May, 2022. The allotment status for the shareholders who applied would come on 19th May, 2022. The refunds for the ones who did not get allotment would be initiated on 20th May, 2022. The DEMAT accounts of shareholders would be credited on 23rd May 2022. The listing of the company would be accompanied on 24th May, 2022.
Lead Managers And Promoters
The lead managers are :
- BOfA Securities India Company Pvt. Ltd.
- Kotak Mahindra Capital Company Limited
- Citigroup Global Markets India Private Limited
- Morgan Stanley India Private Limited
The minimum lot size for the company is decided at 30 shares. This holding accounts to 14610 Rs.. The maximum lot size is decided at 390 shares. This amounts to 189930 Rs.. Hence the company’s final holdings would be set as :
| Shares | Amount | |
| Minimum | 30 shares | 14610 Rs |
| Maximum | 390 shares | 189930 Rs. |
OBJECTIVES FOR THE IPO
- The money in the IPO would be used for general corporate purposes.
- For meeting the production and inventory expenses. The money will also be used for further business expansion purposes.
COMPANY FINANCIALS
| Particulars (in Million Rs.) | Dec. 2021 | 2020-21 | 2019-20 |
| ASSETS | 84294 | 45977 | 43573 |
| Revenue | 49114 | 38383 | 29886 |
| PAT | (8911) | (4157) | (2689) |
The company financials are mixed up with the losses and the asset base expansion. Delhivery had increased its assets by almost 100% post the COVID first wave. The company’s asset base was 45000 Million Rs in 2021 which increased to 84000 Million Rs. This is almost a 100% hike in the assets. The revenues of the company on the other hand haven’t improved that much. The revenues stand at 49000 Million Rs by December 2021. The company can be classified as a growing company with its stellar record for growth. However its profitability has been questionable ever since.
The company is unable to provide any profitable quarter ever since. It has been in fact widening its losses by 100% in Dec 2021 as compared to March 2021. The profit was 4157 Million Rs in March 2021 which increased to 8911 Million Rs in Dec, 2021.
PROS
- Fastest growing logistics company in India.
- The networking of the company is huge.
- The company covers almost 90% of the Indian Domain with its services.
CONS
- Loss making company with no positive quarter till date.
Delhivery Limited IPO APPLICATION PROCESS WITH ZERODHA
It is very easy to apply for an IPO now if you have a DEMAT account with Zerodha. Follow the steps below for the same :
- Logging into Zerodha console through its website or KITE platform.
- Clicking the IPO link present in the Portfolio section.
- Click the Delhivery Limited IPO button and press the BID button.
- Entering the details asked for like UPI ID, Quantity and price.
- Submit the application form for the IPO.
- Visiting the application of UPI for approving the transaction.
Now, applying for an IPO online is possible with most of the Discount and online brokers.
