Gurugram-based logistics firm Delhivery on Tuesday announced that it has successfully acquired supply chain software firm Algorhythm Tech. This development comes after the company announced in December 2022 that it would acquire Algorhythm Tech for INR 14.9 crore in an all-cash deal to enhance its integrated supply chain solutions offering.
Following this deal, Algorhythm Tech will operate as a wholly-owned subsidiary of the popular logistics service provider. The Algorhythm Tech acquisition has been funded by the proceeds from Delhivery’s initial public offering in May 2022 when it raised INR 5,235 crore.
The acquisition is being seen as a strategic move to help the logistics firm enhance its supply chain business offerings, providing value-added services and optimising costs. The firm, months before its IPO, had bought California-based Transition Robotics in December 2021. In August 2021, it had acquired Spoton Logistics.
Founded in 2003, Algorhythm Tech was the brainchild of Abhaya Borwankar, Ajit Singh, and Sandeep Pendurkar.
The company offers intelligent, connected planning and optimisation solutions for manufacturing, supply chain, inventory planning, sales and distribution, etc.
On the other hand, Delhivery is one of India's largest growing logistics providers. It aims to build the operating system for commerce through a combination of world-class infrastructure, logistics operations of the highest quality and cutting-edge engineering and technology capabilities.
The company has built a nationwide network encompassing all states , servicing over 18000 pin codes and has set up 21 automated sort centres, 96 gateways, 93 fulfilment centres and 2948 direct delivery centres.
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