Carlyle Plans Exit from Delhivery with Sale of Remaining Stake, Marking the End of Decade-Long Investment
- ByStartupStory | June 23, 2023
Private equity firm Carlyle is proposing to sell its remaining 2.53% stake in Indian logistics firm Delhivery. The sale, which is expected to fetch at least $86 million, would mark Carlyle’s exit from the company after nearly a decade.
Carlyle first invested in Delhivery in 2014, when the company was still a start-up. Since then, Delhivery has grown into one of India’s leading logistics companies, providing services to a wide range of businesses, including e-commerce giants like Amazon and Flipkart.
The proposed sale comes at a time when Delhivery is facing increasing competition from other logistics companies, such as DTDC and Blue Dart. However, Delhivery remains the market leader in India, and the company is expected to continue to grow in the coming years.
The sale of Carlyle’s stake in Delhivery is likely to be welcomed by investors, as it will provide them with an opportunity to exit the company at a profit. The sale is also likely to be seen as a sign of confidence in the future of Delhivery, as Carlyle is a well-respected private equity firm with a strong track record.
In a statement, Carlyle said that it was “proud” of its investment in Delhivery and that the company had “exceeded our expectations.” The firm said that it was selling its stake in Delhivery to “unlock value for our investors.”
The proposed sale of Carlyle’s stake in Delhivery is still subject to regulatory approval. However, if the sale is approved, it would mark the end of Carlyle’s investment in the company.
What does the sale mean for Delhivery?
The sale of Carlyle’s stake in Delhivery is unlikely to have a significant impact on the company’s operations. However, the sale could lead to changes in Delhivery’s ownership structure.
If the sale is approved, Carlyle’s stake in Delhivery will be acquired by another investor or investors. This could lead to changes in the company’s management or strategy.
It is also possible that the sale could lead to Delhivery being acquired by another company. However, this is unlikely to happen in the near future, as Delhivery is still a relatively young company with a lot of growth potential.
What does the sale mean for the Indian logistics industry?
The sale of Carlyle’s stake in Delhivery is a sign of confidence in the Indian logistics industry. It shows that investors believe that the industry is still growing and that there are opportunities for profit.
The sale is also likely to encourage other investors to invest in the Indian logistics industry. This could lead to more investment in the industry and could help to accelerate its growth.
Overall, the sale of Carlyle’s stake in Delhivery is a positive development for the Indian logistics industry. It shows that the industry is attractive to investors and that there is potential for growth.
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