UK Mail acquired by Deutsche Post in £243 million takeover

Fri, 07 Oct 2016 | BUSINESS SALE

UK Mail has agreed to a £243 million takeover from Deutsche Post. The deal is set to boost competition in the postal market sector, with Royal Mail coming under increasing pressure.

UK Mail, founded in 1971 by Peter Kane, has been struggling for a number of months. Problems at its sorting facility caused the company to issue two profit warnings last year as well as the departure of chief executive Guy Buswell.

The deal, which saw UK Mail’s share price soar by 43 per cent, was welcomed by Mr Kane, who said that the offer from Deutsche Post would give UK Mail shareholders a significant premium on their shares. In a statement, he said: “The board believes that UK Mail will benefit significantly from becoming part of Deutsche Post DHL, and will be better positioned to continue to develop our parcels and mail businesses with the benefit of Deutsche Post DHL’s greater financial and operational resources.

”There will be significant synergies including additional volumes flowing through our network from Deutsche Post DHL’s global operations.”

With the acquisition, one of Europe’s largest parcel company will grab a significant foothold in the UK. As the traditional letter is replaced by parcels from online shopping, Royal Mail is facing a serious threat to its once dominant position.

Discussing the acquisition, Jürgen Gerdes, a board member at Deutsche Post DHL, said: ““With this acquisition, we will further extend our network and have a strong foothold in Europe’s three largest e-commerce markets – the UK, Germany and France – which account for more than 60% of online retail in the continent.”

Click here to see more businesses for sale.


Share this article



Latest Businesses for Sale

Print & Embroidery Business
Cambridgeshire, East of England, UK

Operating in excess of 30 years print and embroidery specialists. This is a retirement sale. Offers invited.

Asking Price: £750,000
Turnover: £1,500,000

LEASEHOLD


Large Property Portfolio Business
East Riding of Yorkshire, Yorkshire and the Humber, UK

Large property portfolio. All properties are residential. All properties are in good order. Situated in a compact geographical area. Offers invited.

Asking Price: £6,000,000
Turnover: £480,000

Showhome Interior Designers & Furnishers
Cambridgeshire, UK Wide

Established 1981. Enviable reputation. Fantastic trading location. Semi-retirement sale. Offers invited.

Asking Price: £775,000
Turnover: £1,269,946

LEASEHOLD



View more businesses for sale

News Search

Latest News

 
17
 
Jul
 

Preston caravan manufacturer seeks buyer following administration | ADMINISTRATION

A caravan manufacturing business in Preston is on the lookou...

 
16
 
Jul
 

Farsound Aviation sold to AGIC for £115 million | BUSINESS SALE

A supply chain management company operating in the aviation ...

 
15
 
Jul
 

Specialist engineering firm forced to appoint administrators | ADMINISTRATION

Rail contracting company Aspin Group Limited has been forced...

Free guide: 10 Biggest Buyer Mistakes

Sign up to receive our acquisition alert emails to get your FREE guide

Email


Want access to the latest businesses for sale?

Business Sale Report is your complete solution to finding great acquisition opportunities.

Join today to receive:

  • Comprehensive range of businesses for sale
  • Make direct contact with business sellers or their intermediaries
  • Access to all UK administrations, liquidations and winding-up petitions
  • Daily email alerts for the latest businesses for sale & distressed notifications
  • Business Sale Report publication posted to you every month
  • Advertise your acquisition requirements on our "business wanted" section

All this and much more, including the latest M&A news and exclusive resources