Indian Logistics Unicorn, Delhivery Gets Canada Pension Firm To Invests US$115 Million
Indian Logistics Startup, Delhivery secured a US$115 million investment from the Canada Pension Plan Investment Board (CPPIB).
Carlye and Softbank are the two main backers of Delhivery which is currently valued at over US$ 1.6 billion. In March of 2019, Delhivery got US$ 400 million in its Series F funding round led by Softbank, CArlye and Chinese conglomerate Fosun, making it another Indian Unicorn. Indai has been producing numerous Unicorns each year for the last 5 years.
The investment by the Canada Pension Plan Investment Board(CPPIB) was worked through the Fundamental Equities Asia Group, and organization that does research and makes investments all around Asia. The deal was approved by the Competition Commission of India (CCI) last month, and the CPPIB will get an 8 percent stake in Delhivery.
In a press interview with Thailand Startup News , Ms Deborah Orida, Senior MD and global head of active equities at Fundamental Equities Asia Group commented “The continued strong growth of e-commerce has generated significant opportunities in India’s express logistics space for long-term investors such as CPPIB.”
CPPIB has also invested about US$ 7.5billion through all asset classes in India. The company has also invested in Kotak Mahindra Bank, Alibaba Group, Ant Financial and Samsung Electronics.
Delhivery was started in 2011 by Sahil Barua, Mohit Tandon, Bhavesh Manglani, Suraj Saharan and Kapil Bharati. It does transportation, freight services, warehousing and fulfillment services for customers in more than 2,000 cities across the whole of India.
Delhivery recently also acquired the Indian operations of a logistics company based in UAE, called Aramex. Research shows that startups involved in logistics in a supply chain and digital-focused space attracted US$1.89 billion worth of investments since 2018, and the momentum is expected to continue till 2020.
Delhivery’s Founder and CEO Sahil Barua commented in a phone interview with Thailand Startup “We are extremely delighted to welcome Canada Pension Plan Investment Board as a new partner for our next phase of growth and expansion alongside our existing partners. 2018 has been particularly exciting for us at Delhivery. We have crossed 17,600 pin codes across India, launched 3 new businesses, and created over 11,000 new jobs … CPPIB’s investment coincides with a major milestone for the company as we cross over 500 million in cumulative shipments to date. Delihivery will continue to grow and will also expand into other countries in 2020.”