In a significant move within the logistics sector, Delhivery, a leading third-party logistics provider, has announced its intention to acquire Ecom Express Limited for an impressive ₹1,407 crore. On April 5, 2025, Delhivery’s Board of Directors confirmed their approval for this acquisition, which involves purchasing nearly 99.4% of Ecom Express’s shares. This strategic acquisition aims to enhance service delivery for customers and strengthen Delhivery’s position in the rapidly evolving logistics market.
Strategic Acquisition Details
Delhivery’s official communication highlighted that the acquisition involves shares representing at least 99.4% of Ecom Express’s fully diluted share capital. The company is poised to complete this transaction pending clearance from the Competition Commission of India. Once finalized, Ecom Express will operate as a subsidiary under Delhivery’s umbrella.
- Transaction Value: ₹1,407 crore
- Stake Acquired: 99.4%
- Pending Approval: Competition Commission of India
Insights from Leadership
Sahil Barua, the Managing Director and CEO of Delhivery, shared insights into the motivation behind this acquisition. He stated, “To elevate the efficiency, speed, and reach of logistics in the Indian economy, this acquisition is crucial. It will empower us to better serve the clientele of both Delhivery and Ecom Express.”
Ecom Express Overview
Ecom Express boasts a workforce of approximately 15,600 employees and serves over 27,000 pin codes across the country. However, the company has recently paused its plans for an Initial Public Offering (IPO) due to fluctuating market conditions. Although the Securities and Exchange Board of India (SEBI) approved its IPO in December, which remains valid until later this year, the company initially aimed to raise ₹2,600 crore. This IPO included a fresh share infusion of ₹1,284.5 crore along with an offer-for-sale component.
Delhivery’s New Initiatives
In addition to this acquisition, Delhivery has been proactive in expanding its service offerings. Earlier this year, the company launched Rapid Commerce, a delivery service that promises to get products to customers within two hours. This initiative aims to enhance the experience for direct-to-consumer brands and e-commerce platforms by significantly reducing delivery times.
As Delhivery continues to innovate and expand its reach in the logistics industry, this acquisition of Ecom Express marks a pivotal step towards enhancing operational efficiency and customer satisfaction. With ongoing developments, both companies are set to redefine the logistics landscape in India.
