Delhivery Ltd to acquire Algorhythm Tech

The Board of Directors of Delhivery Limited in its meeting held on Monday, December 19, 2022 has approved the acquisition of Algorhythm Tech Private Limited ("Algorhythm Tech"). Upon completion of the acquisition, Algorhythm Tech will become wholly owned subsidiary of the Company.

Algorhythm Tech is an innovative Supply Chain Products and Solutions company based out of Pune, India. The company offers comprehensive, end-to-end Supply Chain Planning & Execution Solutions for Industry Sectors like FMCG, Pharma, Steel, Auto, Telecom etc. through their proprietary, AIenabled and cloud-ready rhythm 2.0 platform. The platform consists of a dozen products designed to deal with various problems in manufacturing, supply chain, and sales & distribution processes.

Algorhythm Tech's supply chain software tools are relevant to Delhivery's Supply Chain Services business - both as a value added service to Delhivery's customers, and to drive cost optimization in service delivery.

The cost of acquisition is Rs. 14.90 Cr for the acquisition of shares and certain other payments to outgoing management team members. In addition, Delhivery may provide inter-corporate loans to/ infuse additional capital in the company to meet business requirements and settle past arrears and other liabilities.

The acquisition will be funded from the proceeds raised through the initial public offer.

Shares of Delhivery Limited was last trading in BSE at Rs. 352.70 as compared to the previous close of Rs. 359.30. The total number of shares traded during the day was 22838 in over 1088 trades.

The stock hit an intraday high of Rs. 360.70 and intraday low of 351.05. The net turnover during the day was Rs. 8124940.00.

Source : Equity Bulls

Keywords

Delhivery INE148O01028 LogisticsSolutionProvider Acquisition AlgorhythmTech