Star starts: Amazon plans to acquire more than 51% of Indian logistics company Ecom Express!

Really rich! Recently, Amazon has made a lot of moves, and it has been on the road of buying, buying, and buying. Not long ago, it acquired the sweeping robot iRobot. Currently, according to Xingqihang, Amazon is considering acquiring more than 51% of the shares of Indian logistics company Ecom Express at a price of up to 600 million US dollars. Currently, the two sides are in preliminary negotiations.

India's Ecom Express is valued at more than $1.2 billion, so the deal is worth at least $500 million. In addition, if the acquisition is completed, Amazon's supply chain in India will be further improved, and Ecom Express will help Amazon reduce operating costs while speeding up deliveries.

Xingqihang learned that the two companies had formed a cooperative relationship before this. Ecom Express is one of Amazon's fulfillment partners in India, helping Amazon deliver goods to customers.

Ecom Express is a provider of logistics solutions for Indian e-commerce companies. Ecom Express operates in 2,650 towns and 2,700 cities in India. The company relies on automated solutions for "first mile" pickup, handling, network optimization and "last mile" delivery. Previously, the company had planned to go public, but it was shelved due to various factors such as the Russian-Ukrainian war.

On July 25, Ecom issued an announcement saying that as the peak season is approaching, the volume of packages will surge, and Ecom will further strengthen its last-mile delivery capacity. It expects to hire 50,000 delivery workers by the end of September.

According to a report by PGA Labs, the Indian e-commerce logistics market is expected to grow at an average annual rate of 24% in the next few years. By fiscal 2026, the market size will reach $6.3 billion. The growth is mainly driven by the online retail sector, which is expected to reach $145 billion by fiscal 2026. On average, 15 million items need to be delivered every day.

The Indian e-commerce market is developing rapidly, and the acquisition of Ecom Express is the icing on the cake for Amazon.