Delhivery, a logistics services provider, made a listless debut on the bourses on Tuesday, with its shares listed at Rs 493 on the BSE. This was 1.2 per cent higher than the issue price of Rs 487 per share. The stock opened at Rs 495.20 per share on the National Stock Exchange NSE.
The stock has hit a high of Rs 497.95 and a low of Rs 487 in the intra-day trade on the BSE and NSE. It was trading at Rs 487.45, almost at par against its issue price, at 10: 01 am. A total of 1.01 million equity shares had changed hands on the NSE and BSE. The S&P BSE Sensex was down 0.31 per cent at 54,121 level, according to the S&P BSE SensexBSE Sensex.
The logistics major raised Rs 5,235 crore through the initial public offer IPO, aiming to use the Rs 2,000 crore in funding growth initiatives, Rs 1,000 crore for inorganic growth through acquisitions or strategic alliances and the rest of Rs 1,000 crore for general corporate purposes. The company, which is the largest integrated logistics player by revenue, is looking for steady growth in the Indian logistics sector, as well as market-share gains in the organised space.
A wide variety of customers, including e-commerce marketplace, direct-to- consumers e-tailers, and enterprises, are served by supply chain solutions in a variety of verticals, such as the e-commerce marketplace, direct-to- consumers e-tailers, and enterprises. Delhivery had over 5,000 active customers and PIN code accessibility in over 13,000 regions as of December 31, 2021.
The company's net loss increased to Rs 891 crore for the nine months ended December 2021 from Rs 297 crore a year ago, according to the red herring prospectus.
The YES Securities analysts believe that Delhivery's asset light business model and its cutting edge engineering and automation capabilities will help the company improve its operating efficiencies and improve its profitability in the coming years.
The brokerage firm has recommended a 'SUBSCRIBE' rating from a long term perspective on Delhivery IPO issue, given that the company is the largest and fastest growing 3PL express parcel delivery player, has a unified infrastructure network, proprietary technology stack and capabilities, large amount of data intelligence and R&D, experienced professional management team and strong relationship with diversified customer base.