new Delhi: According to a Business Standard report, Indian logistics firm Delhivery may launch its initial public offering (IPO) in the first quarter of the next financial year.
The SoftBank-backed firm had earlier filed its DRHP with market regulator Securities and Exchange Board of India (SEBI) late last November.
In January 2022, SEBI had approved Logistics Unicorn’s plan to file an IPO of Rs 7,640 crore.
However, the initial plan to launch the IPO in this financial year was postponed due to the challenging market conditions.
A sharp pivot by the US Federal Reserve and the ongoing war between Russia and Ukraine has rocked the IPO market after a record-breaking 2021.
According to the report, a banker has said, “The market has seen a correction in the last one week amid ceasefire talks between Russia and Ukraine. If the market conditions continue to improve, we may see major issuers like Delhivery opening their share sales.
There have been four IPO launches in the last one week, compared to just three between January and February.
Delhivery had planned to raise over Rs 7,000 crore through listing, which includes a fresh issue of shares worth Rs 5,000 crore and an offer-for-sale (OFS) of Rs 2,460 crore.
The start-up, which was founded in 2011 by Mohit Tandon, Sahil Barua, Bhavesh Mangalani, Kapil Bharti and Suraj Saharan, is the country’s largest multimodal, fully integrated logistics, and supply-chain firm (on FY21 basis). on) is.
In a note by brokerage Motilal Oswal, India’s logistics sector offers a huge addressable opportunity as it is projected to grow at an annualized rate of 9 per cent to $365 billion between FY15 and FY26. It expects the growth to be more for the organized players due to their relentless focus on technology and automation.
The logistics market is highly fragmented, with organized players accounting for less than 4 per cent of the market share, while Motilal Oswal said the transition from the unorganized to the organized sector is already underway.
The turmoil in the stock market has also forced the government to postpone the mega listing of LIC for the next financial year.
Apart from Delhivery, VLCC Health Care, Bajaj Electronics, One MobiKwik Systems, Go Airlines, Utkarsh Small Finance Bank are some of the companies that will soon hit Dalal Street.
According to a news report, there are around 49 public offerings which have received comments from SEBI and are likely to launch IPOs in the coming financial year.