One of the world’s largest investment management companies, Canada Pension Plan Investment Board has invested $115 million in Indian logistics giant Delhivery. This move is said to be highly instrumental in giving CPPIB a great exposure to the Indian logistics market.
Delhivery’s founder and CEO, Sahil Barua seemed extremely happy at the association of the Toronto-based company with his firm in a press release. “We are delighted to welcome CPPIB as a new partner for the next phase of growth alongside our other partners,” he said while hoping to attain new milestones in coming years.
The development has made CPPIB a stakeholder of roughly 8% in the Indian third-party logistics company, which is valued at around $1.5 Billion. The investment is made through Fundamental Equities Asia Group, a long-term investment corporate for the Asia region.
Alain Carrier, Head of International at CPPIB said that we have found a very reputable partner in the form of Delhivery in a time when we are looking to invest in the flourishing market of India.
CPPIB has been active in India on ground for about a decade. The total equity investment of the Canada’s largest pension fund in India was evaluated at $9.9 Billion as of 30th June 2019.
Delhivery started functioning in the year 2011. Having started its journey with food and flower delivery in localities of Gurgaon, the company has attained immense success riding on the rise of online retailing in India. The minds behind this brand, Sahil Barua, Mohit Tandon, Suraj Saharan, Kapil Bharti, and Bhavesh Manglani have inspired a horde of startups that have emerged in India in the past few years.
In March 2019, Delhivery attracted $413 million from Softbank, the biggest in the history of the company. Its alliance with CPP Investment Board will not only boost the Indian company’s stature as a trusted market partner but also boost the Indian logistics and supply-chain sector.