Delhivery to acquire Ecom Express, aims for scale, synergies

Delhivery (BSE: 543529) has announced its plan to acquire Ecom Express, a move expected to boost the company’s scale and operational efficiencies. The acquisition, subject to regulatory approval, is projected to yield significant synergies, particularly in network optimization and reduction of overlapping overheads. Delhivery anticipates improved asset utilization and profitability upon integration. Ecom Express' FY24 revenue was INR26.09B and 9MFY25 revenue was INR19.12B. The deal is structured to avoid material capital expenditure commitments or tax liabilities, and integration costs are conservatively estimated at INR3B, which Delhivery expects the acquisition to be margin accretive. The company projects retained revenue to generate higher EBITDA margins than Ecom Express' standalone operations. While a long-stop date of 6 months from the signing of definitive documents is in place, and is extendable.