Delhivery IPO | Price band set at Rs 462-487 a share; firm valued at Rs 35,283 crore

Delhivery Ltd, a logistics and supply chain startup, has set the price band of its initial public offering (IPO) at Rs 462-487 a share, valuing the company at Rs 35,283 crore at the top end of the band.

Earlier, the firm said its IPO will open for subscription on May 11 and close on May 13.

The basis for allotment will be on May 19 and the shares will be credited to the demat account on May 23. The firm will list on exchanges on May 24.

The firm has cut its total issue size to Rs 5,235 crore from Rs 7,460 crore planned earlier. It will now raise Rs 4,000 crore via the fresh issue and Rs 1,235 crore through an offer for sale (OFS).

Fosun group-owned China Momentum Fund, via its affiliate Deli CMF Pte Ltd, will sell up to Rs 200 crore. The OFS will comprise up to Rs 454 crore by CA Swift Investments, up to Rs 365 crore by SVF Doorbell Ltd, and up to Rs 165 crore by Times Internet.

Delhivery co-founders will also participate in the OFS. Kapil Bharati will sell shares worth Rs 5 crore, Mohit Tandon will sell shares worth Rs 40 crore and Suraj Saharan is selling up to Rs 6 crore worth of shares.

The proceeds from the issue will fund the company's organic and inorganic growth initiatives via acquisitions and other strategies.

Kotak Mahindra Capital, Morgan Stanley India, Bofa Securities India, and Citigroup Global Markets are managing the share sale.

Delhivery is the largest fully integrated logistics services player in India by revenue. It has built a nationwide network in every state, servicing 17,045 PIN codes or 88.3 percent of the 19,300 PIN codes in India. The Gurugram-based firm became a unicorn in 2019 when it raised $413 million in a Series F round led by SoftBank Vision Fund.