Delhivery IPO opens today. Should you invest? What brokerages say

Major risks to the operating model of the logistics player include its heavy reliance on e-commerce, despite diversifying into other industry verticals, analysts say

The Rs 5,235 crore initial public offer of India’s largest logistics service provider Delhivery will open for subscription today and close on Friday, May 13. The IPO is the second biggest for Dalal Street in calendar year 2022 (CY22) after LIC.

The IPO consists of a fresh issue of shares worth Rs 4,000 crore, and an offer-for-sale of Rs 1,235 crore. The price band of the issue is set at Rs 462-487 a share.

Delhivery, which is the leading fully-integrated logistics services player in India by fiscal 2020-21 (FY21) revenue as per reports, has a diverse consumer base with 23,113