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Commencing operations in 2011 and later making its public debut in 2022, Delhivery stands as an integrated logistics entity providing a spectrum of services, including express parcel delivery, warehousing, and data intelligence, among others.
Shares of Delhivery may face downward pressure on November 17 as Japanese investor SoftBank intends to reduce its stake in the logistics firm.
SoftBank is reportedly considering the sale of a $150 million stake, equivalent to approximately 4 percent of its holdings, in Delhivery through a block deal, sources informed Moneycontrol. As of September 2023, SoftBank’s SVF Doorbell (Caymen) owned around 14.46 percent of the logistics firm.
Delhivery has yet to comment on the potential sale. The stock closed positively at Rs 411.36 on November 16 before the news of the planned stake reduction emerged.
During the September quarter, Delhivery reduced its losses to Rs 103 crore from Rs 254 crore in the corresponding period last year. The company also witnessed an 8 percent growth in revenue, reaching Rs 1,941.7 crore.
SoftBank had initially invested $380 million in the Indian logistics firm. The bulk deal in Delhivery, valued at ₹954 crore, occurred at ₹340 per share in March. This transaction involved participation from various investors, including the Saudi Arabian Monetary Authority, City of New York Group Trust, Societe Generale, BNP Paribas Arbitrage, Morgan Stanley Mauritius, Baillie Gifford Emerging Markets Equities Fund, and more.
Before SoftBank, Tiger Global had divested 1.2 crore shares in Delhivery at ₹335 per share.
In the September quarter, SoftBank recorded a net loss of $5.2 billion, primarily attributed to the bankruptcy of WeWork. This stands in stark contrast to the 3.0 trillion profit reported a year earlier when the investment group sold a significant portion of its stake in the Chinese e-commerce giant Alibaba.
