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Time of India
6 hours ago
- Business
- Time of India
IPOs lead India's 2024 startup exit wave, but M&As likely to catch up
Academy Empower your mind, elevate your skills ETtech Initial public offerings (IPOs) accounted for more than two-thirds of private equity and venture capital exits from Indian startups in 2024, as heightened public market valuations sidelined secondary deals and large mergers and acquisitions (M&As), a new report over the next 6–12 months, exit activity is expected to even out across IPOs, secondaries, and M&As, with private routes regaining favour amid public market corrections and mounting liquidity pressure, according to the report by investment banking firm DC Advisory shared exclusively with and industry executives noted that public investors have raised the bar for fundamentals of new-age firms eyeing year marked India's strongest IPO cycle yet, with $18.6 billion raised by companies through public listings, surpassing the 2021 the $22.7 billion in PE-VC exits in 2024, 68% came from IPOs, a significant increase from 60% in 2023, the report buoyant environment was fuelled by robust corporate earnings, strong domestic liquidity, and a surge of PE and VC-backed companies reaching IPO the IPO rush has slowed down this calendar.'The IPO market in India has been choppy in the first half of the year,' said Klaas Oskam, CEO of DC Advisory India, an investment banking the first five months of 2025, PE/VC exits through strategic M&A deals totalled $2.5 billion — already surpassing the full-year figure for 2024, and accounting for 38% of total exit narrowing bid-ask spread due to corrected valuations has made M&A more feasible and appealing to both strategic and financial of the large M&As to have happened this year include skincare brand Minimalist being acquired by Hindustan Unilever in a $314-million deal, Renewbuy's $210-million merger with InsuranceDekho, and new-age logistics company Delhivery acquiring its rival Ecom Express in a cut-price deal of $165 million . Ecom Express's acquisition was preceded by an unsuccessful plan to go IPOs continue to be the biggest contributor to PE/VC exits, followed by secondaries.'It is important for India that more cylinders fire for exits. So far, the IPO cylinder has fired the most,' Oskam Kelawala, managing director of DC Advisory India, said very few M&As and secondaries happened last year because IPO valuations 'were ridiculously high…almost double of the private markets.''Now, given that the bar is higher this year, over the next 6-12 months you will see a balance between IPOs and M&As or secondaries because valuations have corrected,' he said. 'All of these will be in play because for a lot of funds, exits and DPI matter, and the follow-up fundraises will also happen on the back of that.'Despite the muted first half of 2025, sentiment is improving in the IPO market. Public markets have rebounded to near all-time highs, and almost a dozen companies have filed to go mutual fund executive pointed out that there was significant capital available with this class of public investors, which typically lead the price-setting for public he added, once larger players like Meesho Flipkart , and PhonePe go public, they will soak up significant liquidity, easing the scarcity premium that has driven valuations for new-age companies so far, likely tempering them Advisory's Oskam expects a significant uptick in overall exit activity in the coming months. 'The second half of this year will clearly be bigger than the first because two engines will be firing…public markets and private ones. Last year, it was mainly just IPOs,' he IPO rush cooled early in 2025 with a steep stock market correction between October 2024 and February 2025.A section of VC-backed stocks that listed last year saw post-listing underperformance, with 50% still trading below issue price even after markets rebounded. In contrast, private equity-backed firms fared better, highlighting the public market's preference for predictability and profitability over high-growth volatility, Oskam said.'A lot of VC-backed public companies are high volatility. They can grow very fast but can still miss targets by a larger margin,' he said. 'The public markets reward predictability, which has not played out because of volatility or the market conditions.'
Hans India
28-06-2025
- Business
- Hans India
Transportation, logistics lead deal value
New Delhi: India's transportation and logistics sector gained significant traction in the first half of 2025, with total deal value surging to $609.7 million, marking a robust 85 per cent increase from H1 2024, according to a report on Friday. Deal volumes grew substantially from 16 to 25, reflecting stronger investor confidence and sustained interest in the sector's transformation, according to the Grant Thornton Bharat report. India's logistics sector is navigating a dynamic phase marked by steady demand, evolving cost structures, and a growing emphasis on sustainability. 'While rising freight and servicing costs continue to weigh on margins, inventory movement remains resilient. The sector is also making measurable strides in sustainability, with significant investments in digital infrastructure and low-emission facilities, alongside policy tailwinds aimed at reducing costs and improving turnaround time,' the findings showed. The surge in mergers and acquisitions (M&A) values for Q2 2025 was driven by landmark deals such as Delhivery's acquisition of Ecom Express. Private equity investors continued backing digital-first logistics companies such as SmartShift (Porter), Routematic, and Celcius Logistics, indicating confidence in scalable, asset-light models that bring efficiency to fragmented last-mile and intra-city delivery, the report mentioned. Meanwhile, freight rates have surged by up to 28 per cent on key trans-Pacific and intra-Asia routes, primarily due to port congestion and container shortages in China. Container pile-ups in East Asia have reduced availability in South Asia, forcing Indian exporters to pay premiums for guaranteed slots. 'The logistics industry is at the forefront of addressing climate change, with sustainability rapidly evolving from a regulatory requirement to a business imperative. Integrating ESG-aligned logistics into corporate strategies will boost sustainability credentials with investors, consumers, and regulators alike,' the report emphasised.
Mint
18-06-2025
- Business
- Mint
Delhivery shares climb 2% as CCI clears ₹1,407-crore acquisition of Ecom Express
Shares of logistics company Delhivery rose over 2 percent in intra-day trading on Wednesday after the Competition Commission of India (CCI) approved its proposed acquisition of a majority stake in rival Ecom Express Ltd. The move marks a significant consolidation in India's e-commerce logistics space and aims to strengthen Delhivery's last-mile delivery and fulfilment capabilities. In a statement issued on Tuesday, the CCI confirmed its approval for Delhivery Ltd to acquire at least 99.44 percent of the equity and preference shares of Ecom Express on a fully diluted basis. This acquisition, valued at up to ₹ 1,407 crore, is seen as a strategic effort to expand Delhivery's operational scale and competitive edge. Delhivery had first announced the deal in April 2025, noting that the entire transaction would be executed in cash. Ecom Express, a Gurugram-based logistics company focused on e-commerce deliveries, reported a turnover of ₹ 2,607.3 crore in FY24—an uptick from ₹ 2,548.1 crore in FY23. The acquisition is expected to help Delhivery bolster its dominance in the e-commerce delivery market by expanding its warehousing, fulfilment, and last-mile infrastructure. With the Indian e-commerce sector expected to see strong double-digit growth, this deal is poised to enhance Delhivery's value proposition to online retailers and deepen its market presence. Delhivery stated that the consolidation aligns with its broader strategy of becoming India's most comprehensive logistics platform. With Ecom Express' expertise in secure and high-volume deliveries, especially in tier-2 and tier-3 markets, the acquisition will likely improve service reach and operational efficiency. Delhivery recently reported its first-ever full-year net profit in FY25. The company posted a net profit of ₹ 162 crore, reversing a loss of ₹ 249 crore in FY24. For the March quarter, Delhivery recorded a net profit of ₹ 72.6 crore compared to a loss of ₹ 68.5 crore in the same period last year. Revenue for Q4FY25 rose 5.6 percent year-on-year to ₹ 2,191.6 crore. The company's EBITDA nearly tripled to ₹ 119 crore from ₹ 45.7 crore in Q4FY24, while operating margins improved to 5.45 percent from 2.2 percent a year ago. Following the announcement, Delhivery's stock rose 2.1 percent to an intra-day high of ₹ 366.50. The scrip remains nearly 18 percent below its 52-week high of ₹ 447.75 hit in September 2024, but well above its 52-week low of ₹ 236.80 recorded in March 2025. Despite a 12 percent decline over the past year, Delhivery has staged a notable comeback in recent months. The stock has gained 2 percent so far in June, extending its winning streak to four months. It rose 17 percent in May, 20 percent in April, and 2 percent in March, recovering from steep losses of 22 percent in February and 7.2 percent in January.
Mint
18-06-2025
- Business
- Mint
Delhivery shares climb 2% as CCI clears ₹1,407-crore acquisition of Ecom Express
Shares of logistics company Delhivery rose over 2 percent in intra-day trading on Wednesday after the Competition Commission of India (CCI) approved its proposed acquisition of a majority stake in rival Ecom Express Ltd. The move marks a significant consolidation in India's e-commerce logistics space and aims to strengthen Delhivery's last-mile delivery and fulfilment capabilities. In a statement issued on Tuesday, the CCI confirmed its approval for Delhivery Ltd to acquire at least 99.44 percent of the equity and preference shares of Ecom Express on a fully diluted basis. This acquisition, valued at up to ₹ 1,407 crore, is seen as a strategic effort to expand Delhivery's operational scale and competitive edge. Delhivery had first announced the deal in April 2025, noting that the entire transaction would be executed in cash. Ecom Express, a Gurugram-based logistics company focused on e-commerce deliveries, reported a turnover of ₹ 2,607.3 crore in FY24—an uptick from ₹ 2,548.1 crore in FY23. The acquisition is expected to help Delhivery bolster its dominance in the e-commerce delivery market by expanding its warehousing, fulfilment, and last-mile infrastructure. With the Indian e-commerce sector expected to see strong double-digit growth, this deal is poised to enhance Delhivery's value proposition to online retailers and deepen its market presence. Delhivery stated that the consolidation aligns with its broader strategy of becoming India's most comprehensive logistics platform. With Ecom Express' expertise in secure and high-volume deliveries, especially in tier-2 and tier-3 markets, the acquisition will likely improve service reach and operational efficiency. Delhivery recently reported its first-ever full-year net profit in FY25. The company posted a net profit of ₹ 162 crore, reversing a loss of ₹ 249 crore in FY24. For the March quarter, Delhivery recorded a net profit of ₹ 72.6 crore compared to a loss of ₹ 68.5 crore in the same period last year. Revenue for Q4FY25 rose 5.6 percent year-on-year to ₹ 2,191.6 crore. The company's EBITDA nearly tripled to ₹ 119 crore from ₹ 45.7 crore in Q4FY24, while operating margins improved to 5.45 percent from 2.2 percent a year ago. Following the announcement, Delhivery's stock rose 2.1 percent to an intra-day high of ₹ 366.50. The scrip remains nearly 18 percent below its 52-week high of ₹ 447.75 hit in September 2024, but well above its 52-week low of ₹ 236.80 recorded in March 2025. Despite a 12 percent decline over the past year, Delhivery has staged a notable comeback in recent months. The stock has gained 2 percent so far in June, extending its winning streak to four months. It rose 17 percent in May, 20 percent in April, and 2 percent in March, recovering from steep losses of 22 percent in February and 7.2 percent in January. Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
Time of India
18-06-2025
- Business
- Time of India
Delhivery shares in focus as CCI approves Rs 1,407-crore Ecom Express deal
Delhivery shares will be in focus on Wednesday after the Competition Commission of India (CCI) approved the company's proposed acquisition of a controlling stake in Ecom Express for approximately Rs 1,407 crore—a significant consolidation move in India's logistics sector. 'The proposed combination comprises the acquisition of at least 99.44% of the equity and preference shareholding (on a fully diluted basis) of Ecom Express Ltd by Delhivery Ltd,' the CCI said in a statement. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Join new Free to Play WWII MMO War Thunder War Thunder Play Now Undo Also Read: Street favourites! Analysts see these 10 smallcap stocks rallying 20-80% In April, Delhivery had announced that it signed a definitive agreement to acquire a majority stake in the unlisted logistics firm for a cash consideration not exceeding Rs 1,407 crore. The deal had already been cleared by Delhivery's board and required CCI's regulatory approval. The acquisition is expected to strengthen Delhivery's position in last-mile delivery , warehousing, and fulfilment services, further expanding its reach in the fast-growing Indian e-commerce logistics space. Live Events Ecom Express, headquartered in Gurugram, reported a turnover of Rs 2,607.3 crore in FY24, slightly up from Rs 2,548.1 crore in FY23. Also Read: 10 midcap stocks with more than 20 buy Calls: Analysts see up to 25% upside Delhivery share price target According to Trendlyne, the average target price for Delhivery stands at Rs 413, suggesting a potential upside of nearly 15% from current levels. Out of the 23 analysts covering the stock, the consensus rating is 'Buy'. Technical indicators show the stock's Relative Strength Index (RSI) at 57.7. An RSI below 30 indicates oversold conditions, while a reading above 70 signals overbought levels. The MACD is at 14.3—above the centre line but below the signal line. Delhivery shares closed 1.7% lower at Rs 358.8 on the BSE in the previous session. The stock has rallied 48% over the past three months but remains down more than 12% over the last year. ( Disclaimer : Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)
