Third-Party Logistics (3PL) solution providers Mahindra Logistics Ltd. (MLL) on Monday announced the acquisition of a majority stake in ZipZap Logistics Private Limited, a last-mile logistics service provider operating under its brand ‘Whizzard’.
The acquisition will complement MLL’s existing last mile delivery business and EDeL, its Electric Vehicle (EV) based delivery services. Expanding technology-based last mile services is an integral part of MLL’s growth strategy and this transaction will help accelerate the addition of technology, geographical coverage and operational capabilities.
Hyderabad based Whizzard operates an intra-city distribution network for digital commerce and last mile delivery. Whizzard currently enables seamless handling of 60 million packages per year, across diverse segments. Led by a strong founding team of Ankit Madhania and Arun Rao, Whizzard has grown 10X in the last three years and serves customers with its full stack digital capabilities and micro-distribution centres catering to 3000+ pin codes.
At around 2.55 pm, Mahindra Logistics Ltd was trading at Rs406.45 per share down by Rs23.85 or 5.54% from its previous closing of Rs430.30 per share on the BSE.
Rampraveen Swaminathan, MD & CEO, Mahindra Logistics Limited said, “Last Mile Delivery & Fulfilment continues to see strong tailwinds with increased digital adoption, expanding delivery networks and onset of quick commerce. This association will enhance and strengthen our existing presence for our customers in e-commerce and other segments. The Whizzard team has built deep capabilities and delivered strong growth till date. We look forward to building the association together and providing customers integrated solutions”.
Ankit Mandhania and Arun Rao, co-founders of Whizzard said, “Mahindra Logistics is one of the most respected logistics companies in India. We believe that being downstream to this and respected brand with a large customer base is significant strategic advantage for a lastmile delivery company like us. We are thrilled to join hands with Mahindra Logistics and look forward to rapidly scaling our business in the coming years”.