Delhivery will buy Ecom Express for Rs 1407 crore, deal will be completed in 6 months
Logistics service provider Delhivery Limited is acquiring Ecom Express Limited for about Rs 1,400 crore to expand its business. The company gave this information on Saturday. In a notice given to the stock exchange, Delhivery said that it has signed a definitive agreement to acquire a majority stake in Ecom Express Limited from its shareholders for about Rs 1,400 crore in cash. The board of Delhivery Limited has approved this deal. The board has approved the execution of the share purchase agreement between Ecom Express and its shareholders and the execution of other necessary documents.
The deal will be completed in 6 months
According to the regulatory information, the deal is expected to be completed within the next six months. Gurugram-based Ecom Express’ turnover stood at Rs 2,607.3 crore in FY 2023-24. Whereas a year earlier it was Rs 2,548.1 crore. Delhivery MD and CEO Sahil Barua said, “The Indian economy needs continuous improvement in cost efficiency, speed and reach of logistics. We believe this acquisition will enable us to better serve the customers of both companies through continued bold investments in infrastructure, technology, network and people. “
Both companies will benefit
Ecom Express founder K Satyanarayan said on this acquisition, “Delhivery is one of India’s leading logistics service providers. “It has significant operating advantages and will be an ideal shareholder for Ecom Express’ next phase of growth.” Delhivery’s board of directors has approved the acquisition of at least 99.4 per cent stake in Ecom Express for a maximum amount of Rs 1,407 crore.
