ECOM EXPRESS LIMITED FILES DRHP WITH SEBI FOR UP TO Rs.2600 CRORE IPO

Ecom Express Limited is India’s only pure-play B2C e-commerce logistics solutions provider as of the Financial Year 2024 (Source: RedSeer Report). Ecom Express pan-India reach covers over 27,000 PIN codes and it has the widest coverage amongst its peers as of March 31, 2024 (Source: RedSeer Report.) with a network of 317(covering sorting hubs, processing centers, return centers and fulfilment centers), and 3,421 delivery centers, in each case as of March 31, 2024, the PIN codes Ecom Express cover collectively account for approximately 97% of India’s population (Source: RedSeer Report).

Ecom Express Limited (“EEL” or “The Company”), has filed its Draft Red Herring Prospectus (“DRHP”) with market regulator Securities and Exchange Board of India (“SEBI”) to raise funds through initial public offerings of total issue size of Equity Shares (face value ₹1 each) aggregating up to ₹26,000 million (₹ 2,600 Crore). (The “Total Issue Size”)

The offer comprises of fresh issue of equity shares aggregating up to ₹12,845 million [₹ 1284.50 crore] (The “Fresh Issue”) and offer for sale by Selling Shareholders aggregating up to₹ 13,155.00 million [₹ 1,315.50 crore] (The “Offer for Sale”).  

The Company proposes to utilize the Net Proceeds towards funding – (i) Capital expenditure towards set-up of new processing centers with automation and new fulfilment centres estimated amount to be ₹ 3874.41 million [₹ 387.44 crores] (ii) Investing in enhancement of technological and data science capabilities including cloud infrastructure estimated amount to be ₹ 737.12 million [₹ 73.71 crore] (iii) Investing in enhancement of technological and data science capabilities including cloud infrastructure estimated amount to  ₹ 2,392.30 [₹ 239.23 crore] (iv) Repayment/ prepayment, in full or in part, of certain borrowings availed of by Company including payment of the interest accrued thereon estimated amount to be ₹ 879.19 million [₹ 87.91 crore] and balance amount towards general corporate purposes. (The “Object of Issue”)

The Equity Shares that will be offered through the Red Herring Prospectus are proposed to be listed on the BSE Limited (“BSE”) and National Stock Exchange of India Limited (“NSE”). (The “Listing Details”)

Axis Capital Limited, IIFL Securities Limited, Kotak Mahindra Capital Company Limited and UBS Securities India Private Limited are the Book Running Lead Managers to the issue. (The “BRLMs”)