Mahindra Logistics is buzzing in trade, up 2.65 percent at Rs 444 a piece, at 12:50 pm IST. This after the company launched last-mile electric vehicle delivery service under the brand name - E-Del.

In a conversation with CNBC-TV18, Rampraveen Swaminathan, MD & CEO of Mahindra Logistics, said that the company will deploy 1,000 vehicles for last mile delivery in the next six months.

Swaminathan elaborated, “We are beginning with a fleet of 3-wheelers. We should expand in other categories as well. Over the next 6 months we will be deploying a fleet of around 1,000 vehicles and over the next 2 years we hope to expand that to a further 3,000 vehicles across 14 cities in India. We expect the business to be Rs 150 crore over the next 3 years.”

“We operate around 9-10 percent gross margins at a company level and we expect that this business will deliver similar kind of margins,” he said.

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(Edited by : Abhishek Jha)