In a landmark deal that could well become the defining moment for India’s fragmented logistics industry, Softbank has invested a massive $350 Million into logistics upstart Delhivery. The deal values the company to the north of $1.6 Billion, making it one of India’s most valued new-age startups.
According to registrar filings studied by media platform Paper.vc, Delhivery has issued:
- 1.23 Mn Series F compulsorily convertible cumulative preference shares (CCCPS) each at a premium of INR 20,063 to Cayman Islands-registered SVF Doorbell (Cayman)
- 158,831 Series-F CCCPS to existing investor Carlyle Group’s CA Swift investments at a premium of INR 20,063
- 63,532 Series-F CCCPS to existing investor Fosun International.
The RoC documentation also mentions holding percentages of each of Delhivery’s larger investors. SoftBank and Carlyle Group will now hold 23.41% and 12.39% respectively in the company.
Delhivery now boasts of 12 fulfillment centers across India. The company serves all major ecommerce platforms in the country, including the likes of Amazon, Walmart-owned Flipkart, Paytm among others.
The current investment will also put on hold the company’s much highlighted IPO plans. The company had in fact expressed confidence and investor-backing for the same way back in 2016.
Delhivery began operations in 2012 as yet another hyperlocal food delivery startup. Soon, it pivoted to an e-commerce logistics company piggybacking on the online retail boom. The company currently services over 600 cities and 8,500 PIN codes. It has a network of 12 fulfillment centers and works with companies like Flipkart and Paytm.