CCI nod impact: Mahindra & Mahindra, Delhivery shares rise up to 2%

Mumbai, June 18, 2025 — Shares of Mahindra & Mahindra Ltd (M&M) and Delhivery Ltd witnessed an uptick of up to 2% during Wednesday’s trade after the Competition Commission of India (CCI) granted approval for a proposed strategic transaction between the two companies. The development signals stronger collaboration in India’s rapidly evolving logistics and electric vehicle (EV) ecosystem.

As of 11:30 AM IST, Mahindra & Mahindra shares were trading at ₹2,005.70, up 1.6%, while Delhivery’s stock moved 2.1% higher to ₹472.30 on the NSE. The rally comes in the backdrop of renewed investor optimism surrounding synergies and sectoral growth potential triggered by the regulatory green light.

CCI Approval Unlocks Strategic Collaboration

The CCI’s clearance pertains to M&M’s investment in a logistics arm controlled by Delhivery. While the companies have not disclosed transaction specifics, industry insiders suggest it is a strategic alliance focused on optimizing EV logistics, fleet digitization, and last-mile delivery operations.

According to the joint notification filed earlier with the CCI, the deal intends to “create a mutually beneficial ecosystem supporting the transition to green mobility while enabling tech-driven logistics scalability.”

Market Analysts View: Synergies on the Horizon

Market analysts welcomed the development, citing potential long-term benefits across logistics and EV platforms.

“This deal is more than a capital transaction—it aligns two major players in India's logistics and mobility sectors, allowing resource optimization, data sharing, and better customer fulfilment. We expect it to be earnings accretive by FY27,” said Ravindra Desai, Senior Analyst at Motilal Oswal.

“Delhivery’s logistics backbone could significantly enhance Mahindra’s EV outreach, especially in Tier-II and Tier-III towns. Meanwhile, Mahindra’s growing EV presence gives Delhivery early access to fleet electrification tech and policy support,” added Meera Joshi, Auto Sector Specialist at ICICI Direct.

Sector Context: Logistics, EVs, and Regulatory Support

India’s logistics sector is undergoing rapid digital transformation, spurred by rising e-commerce volumes, electrification, and government support for integrated logistics frameworks. The government’s National Logistics Policy (NLP) and FAME-II incentives have further accelerated convergence between mobility and delivery models.

Delhivery, which operates one of the largest logistics networks in the country, has increasingly focused on AI-enabled supply chain automation and sustainability initiatives, including pilot programs with EV fleets. Mahindra, meanwhile, is targeting a 20% EV share in its total vehicle sales by 2027, with heavy investments in EV platforms like XUV.e and the Born Electric Vision.

Investor Sentiment & Stock Movement

Investor sentiment turned bullish post-announcement, with trading volumes surging by 1.8x the 30-day average for Delhivery and 1.5x for M&M.

Both companies have underperformed broader indices YTD, primarily due to sector-specific volatility and global macro concerns. However, analysts believe the CCI nod provides a fresh narrative to re-rate both stocks based on forward-looking fundamentals.

“This regulatory clarity paves the way for strategic execution and value unlocking. It adds visibility to Mahindra’s EV-led growth and Delhivery’s diversification strategy,” said Anshul Goyal, Portfolio Manager at DSP Mutual Fund.

What It Means for Investors

For short-term traders, the price action suggests momentum may continue as the market digests the transaction’s potential. However, the real value lies in the long-term impact of operational collaboration, improved fleet management, and cost efficiencies.

Delhivery has been facing margin pressure due to high capex and weak pricing in the B2B segment. This deal could help it leverage shared infrastructure and access Mahindra’s dealership and parts network. For Mahindra, the logistics tie-up strengthens its EV supply chain backbone, crucial for nationwide penetration.

Final Word

The CCI’s go-ahead may appear procedural on the surface, but it underlines a deeper trend: large-cap Indian corporates are increasingly integrating logistics, technology, and sustainable mobility. Investors are beginning to price in not just capital movements, but ecosystem convergence, which could drive the next leg of sectoral growth.

With government policies aligned toward green and digital infrastructure, the Mahindra-Delhivery alliance—enabled by regulatory approval—could emerge as a benchmark for future strategic tie-ups in India’s logistics and EV sectors.