SoftBank Vision Fund looks to acquire 3.28% more stake in Delhivery

In February, CCI had approved SVFD's subscription to compulsorily convertible preference shares amounting to 22.44% of the total shareholding of Delhivery

SoftBank Vision Fund is looking at increasing its stake in Delhivery by picking up up to 3.28 per cent stake in the logistics company, a move that will take its holding to over 25 per cent.

According to a regulatory document filed with the Competition Commission of India, SVFD, a holding company on behalf of SoftBank Vision Fund LP (SVF), proposes to acquire up to 3.28 per cent of the issued and paid up share capital of Delhivery on a fully diluted basis.

In February, CCI had approved SVFD's subscription to compulsorily convertible preference shares amounting to 22.44 per cent of the total shareholding of Delhivery, the document accessed by business intelligence platform paper.vc showed.

"Accordingly, subsequent to the proposed investment, SVFD will hold up to approximately 25.72 per cent of the issued and paid up share capital of Delhivery on a fully diluted basis," the filing said.

Emails sent to SoftBank did not elicit a response, while Delhivery couldn't be contacted immediately.

As per paper.vc, Delhivery had raised USD 413 million (about Rs 2,890 crore) from Softbank earlier this year, at a post-money valuation of USD 1.5 billion.

Following the transaction, Softbank had become the largest shareholder in Delhivery, followed by Tiger Global and Nexus Venture Partners with 15.38 per cent and 14.77 per cent, respectively.

The founders -- Sahil Barua, Mohit Tandon, Suraj Saharan, Kapil Bharti and Bhavesh Manglani -- collectively hold 8.51 per cent stake in the company, it added.

"It is as yet unclear which shareholder or shareholders are selling their shares although we estimate the cash consideration for this deal to be in the range of USD 50 million (about Rs 350 crore).

"Prime suspects for existing shareholders include a set of individual shareholders who cumulatively hold 0.56 per cent and a few institutions such as Times Internet and one Nexus Fund that might want to cash out before another Softbank-led IPO," Paper.vc said.