ET had reported on May 2 that Delhivery board had cleared the proposal to go for the public listing last week and the company is likely to cut the issue size to Rs 5, 300 crore from Rs 7,460 crore it had planned earlier due to challenging market conditions.
The Gurgaon-based startup’s investors include SoftBank, Carlyle, Tiger Global and others.
ET reported on Tuesday afternoon that SoftBank and Carlyle are likely to reduce their offer for sale (OFS) portions as part of the reduced offering size. Delhivery is expected to file its red herring prospectus (RHP) today.
The IPO is opening for subscription a day after the close of LIC’s share sale window.
Kotak Mahindra Capital, BofA Securities, Morgan Stanley, and Citigroup are managing the issue.
Delhivery had filed for its IPO with Securities and Exchange Board of India in November last year. Owing to choppy market conditions, Delhivery had delayed launching the offer which was initially planned for March.
“We want to go public when our company is well understood. While valuation is one of the factors (for the delay), it is not a critical factor – since we do not require the capital, and market conditions currently are bumpy,” Sahil Barua, cofounder and chief executive of Delhivery, said at the Economic Times Startup Awards 2021 in March.
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Besides Delhivery, PharmEasy is the other prominent startup which has secured Sebi’s nod for its IPO but is yet to announce when it will launch its offer.
ET also reported on May 2 saying other startups and direct-to-consumer brands like Boat. Oyo Hotels & Homes and Snapdeal are going slow on their IPO plan and Sebi is yet to clear these proposals.
