Last day to apply for Delhivery IPO; grey indicates a discounted listing
- ByStartupStory | May 13, 2022
May 13th is the final day for those considering applying for an initial public offering (IPO) for logistics and supply chain company Delhivery.
The Company plans to raise Rs 5235 Crores through a public offering, with new issuance of Rs 4000 Crore and an offer of sale of Rs 1235 Crore. Shareholders such as Carlyle, Softbank of Japan, Fosun Group’s China Momentum Fund and Times Internet will sell some of their shares at the IPO.
So far, only 24% of the issue has been subscribed to in two days. The lack of demand is due to volatile market conditions that scare investors. Additionally, due to the risky market conditions, the Company reduced issue size to ₹5,235 crore from ₹7,460 crore.
The LIC IPO’s Gray Market Premium also plummeted a few weeks ago, offering a Rs.30 to Rs.2 discount. Another point that keeps investors away is the fact that Delhivery is a deficit company. Needless to say, investors have already been bitten after investing in new era companies like Paytm and Zomato. Stocks in these companies have plummeted since they went public.
The company intends to use the IPO proceeds to fund its acquisitions and other expansion plans.
Delhivery provides a full range of logistics services, including express parcel delivery, heavy goods delivery, PTL freight, TL freight, warehousing, supply chain solutions, and cross-border services, among others.
Follow Startup Story
Related Posts
