Filed a draft of the Red Herring Prospectus (DRHP) The initial public offering of Rs 7,460 crore with the Securities and Exchange Board of India (SEBI) on Tuesday (IPO)
a DRHP It is a publicly available document that any company planning to raise money from the public must file with the market regulator. It outlines important information and details regarding its business operations and financials, its promoters, reasons for raising funds, how the funds will be used, risks associated with investing in the company, etc.
Here are five key excerpts from Delhivery’s DRHP:
Problem Size: The company said it will raise Rs 5,000 crore through issue of fresh shares and Rs 2,460 crore through offer for sale (OFS), in which some existing investors will reduce their stake. company is
Its listing seeks a valuation of approximately $5-5.5 billion., as previously reported by ET.
Pre-IPO Round: The company said in September that Lee Fixel, a former partner of New York-based investment firm Tiger Global, had
Invested a total of $125 million through its fund additions, partly through secondary purchases of shares from China’s Fosun. The Chinese fund sold 1.32% of its 3.8% stake in the company, valuing it to $4 billion, ET.
informed of last month.
Selling to Shareholders: Carlyle, SoftBank and Times Internet are listed as selling shareholders in the DRHP. Times Internet is part of the Times Group, which also owns ETTech. Kapil Bharti, Mohit Tandon and Suraj Saharan, among the five founders of Delhivery, will also sell shares in the OFS.
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Financial: The company saw a significant jump in its revenue amid the pandemic, though it continues to make losses. It recorded a revenue of Rs 3,646.5 crore in FY 2011 as compared to Rs 2,780 crore in the previous year. Its net loss stood at Rs 415.7 crore in FY2011, up from Rs 269 crore in FY10. For the quarter ended June 2021, Delhivery’s revenue stood at Rs 1,317 crore with a loss of over Rs 129 crore.
The company’s unaudited consolidated revenue stood at Rs 4,644.38 crore and loss of Rs 595.3 crore in FY11. In the first quarter ended June 30, 2021, the company reported a loss of Rs 190.2 crore to its consolidated revenue of Rs 1,553.9 crore.
These consolidated numbers include proceeds from its subsidiary, Spoton Logistics, which it acquired in August in a $300 million all-cash deal.
Issue proceeds: As per its DRHP, Delhivery will spend around Rs 2,500 crore for organic growth initiatives and Rs 1,250 crore for inorganic growth through acquisitions and other strategic initiatives. It will use the balance amount for general corporate purposes.
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