Ecom Express files for Rs 2,600 crore IPO

MUMBAI: Ecom Express, which claims to be the only domestic pure-play B2C e-commerce logistics solutions provider, has filed for an initial share sale worth Rs 2,600 crore with the regulator Sebi.

According to the draft papers, the issue will consist of a fresh issue aggregating up to Rs 1,284.5 crore and an offer for sale by selling shareholders amounting to Rs 1,315.50 crore.

The company did not specify the details of the selling shareholders in the offer for sale (OFS).

The company proposes to use the net proceeds towards funding capital expenditure for setting up new processing centers with automation and new fulfillment centers, estimated to amount to Rs 387.44 crore, to improve technology and data science capabilities, including cloud infrastructure, for around Rs 73.7 crore; to enhance technology and data science capabilities, including cloud infrastructure, estimated to amount to Rs 239.2 crore; to part-pay debt worth Rs 88 crore; and for other corporate purposes.

Ecom Express is focused exclusively on B2C e-commerce shipments. Its pan-India reach covers over 27,000 PIN codes across 29 states and six Union territories and claims to have the widest coverage among its peers, with a network of 317 large facilities, including sorting hubs, processing centers, return centers, fulfillment centers, and 3,421 delivery centers. It has the second-largest market share in the space, handling over 27 percent of all third-party logistics in B2C e-commerce shipments.