Indian logistics agency Delhivery has publicly contested the accuracy of metrics offered by competitor Ecom Express in its draft preliminary public providing prospectus, a uncommon confrontation within the lead-up to the latter’s market debut.
Delhivery, which is backed by SoftBank and already publicly listed, claims that Ecom Express has inaccurately represented Delhivery’s enterprise metrics when drawing comparisons in its Initial Public Offering submitting.
The 442-page draft prospectus (PDF) submitted by Ecom Express final month reported that the startup had shipped 514.41 million packages within the fiscal 12 months ending March 2024, whereas Delhivery dealt with 740 million throughout the identical interval.
Delhivery alleged in a submitting to the inventory exchanges Friday that this comparability is flawed, asserting that what it considers a single cargo is counted as two by its rivals, suggesting that Ecom Express’s quantity figures are probably inflated. (Delhivery says that its rivals depend an order returned as two shipments.)
Delhivery additional contests Ecom Express’s value per cargo (CPS) calculations, citing disparities in accounting strategies and alleging inflated cargo figures.
The SoftBank-backed agency additionally identified that Ecom Express’ declare to offer its service in 27,000 zipcodes isn’t correct as India has fewer than 19,000 distinctive zip codes.
This public dispute comes lower than a month after Ecom Express, which counts Warburg Pincus, Partners Group, and British International Investment amongst its backers, filed for an Initial Public Offering aiming to boost $310 million.
Delhivery has additionally questioned Ecom Express’s presentation of service EBITDA and company prices, citing an absence of constant definitions for these metrics within the prospectus.
Ecom Express didn’t instantly reply to a request for remark.
This is a creating story. More to observe.
