Tiger Global Management, an American investment management firm sold 1.7 percent stake in Delhivery Ltd on Wednesday for Rs 414 crore via the open market.
The bulk deals data reported venture capital firm ‘Internet Fund III Pte’, through which Tiger Global, holds a stake in the logistics services provider. They sold 1,23,63,060 shares at 335.06 apiece. The selling price was discounted to nearly 4 percent of Tuesdays closing price of the stock (348.90). The next day it was seen that the stock ended nearly 4% down amounting to Rs 336.30 on NSE – National Stock Exchange.
Since December 2022, Tiger Global held 4.68 percent stake in Delhivery through a venture capital firm.
Delhivery had recently revealed in a report about its net loss in the December, 2022 which was Rs 196 crore and in the same quarter of 2021 it reported a loss of Rs 126 crore. Delhivery stated that “its overall business economics has continued to improve with the adjusted EBITDA margin improving 330 bps from -7% in the second quarter of FY23 to -3.7% in the third quarter.”
JM Financial Institutional Securities expressed their view about the sale stating that “Delhivery is among the largest logistics players in India with full-stack solutions across the value chain. Its scale, deep network, and technology capabilities allow the company to optimise costs of delivery, and hence, gain market share.”
Currently JM Financial Institutional Securities has initiated coverage on the stock with a “hold” rating on the stock and a target price of Rs 350.
