DATE: 14th March 2005
Business Direct Group plc ("Business Direct" or "the Group"), the developer and operator of the ParcelXchange intelligent locker distribution system, has acquired the turnover and goodwill of the in-boot division of Esprit In-Night Express Limited ("Esprit"), a wholly owned subsidiary of ANC Limited, a leading UK parcels carrier with 85 depots and more than 3,500 employees. The acquisition will be satisfied in cash based on 18 per cent of the acquired turnover for the 12 months commencing on the date of completion of the acquisition. The consideration will be paid over 24 months, with a minimum guaranteed payment of £200,000 payable on completion. The annualised turnover for the acquired business is expected to be £2.5 million. Esprit In-Night Express is a logistics company which meets the specific needs of organisations with field-based personnel, delivering supplies and components throughout the night direct to engineers' vehicles before 7.00am. The acquisition adds a further average of 850 in-night deliveries to approximately 1,600 engineers across the UK to the Group's business. In addition the company has acquired key corporate customers including Canon UK and Toyota. The acquisition will be integrated into Business Direct's existing national infrastructure and will be serviced from existing depots and call centres. The increased number of night-time drop-offs will also be undertaken by Business Direct's existing delivery network, and therefore reduce the Group's average distribution costs. It is the management's intention to convert Esprit's customer base to the Group's ParcelXchange™ business model, which provides a secure deposit and collection environment for business-to-business deliveries. This will reduce further the Group's distribution costs while providing immediate access to a quality client base. Tim Houstoun, Chief Executive of Business Direct, said: "This is another step in the Group's strategy of securing a pre-eminent position in the distribution of technical products to service engineers in the UK, and providing a comprehensive logistics service through the addition of an in-boot delivery channel. The volume of deliveries will also add critical mass to our business while removing a key competitor. We are committed to continue delivering a high level of service to Esprit's customers and to build on this acquisition to develop further our ParcelXchange box distribution systems."
For Further Information: Alison Brindley
Head of Marketing
Business Direct plc
T: +44 (0) 7962 649 629
E: alison.brindley@bdpx.com
| For Media Enquiries: Alison Brindley,
Head of Marketing, Business Direct Group plc +44 (0)7962 649 629 or +44 (0)1788 821 228. alison.brindley@bdpx.com For supporting text and image files: Rachel Parry, Marketing Executive, Business Direct Group plc +44 (0) 1788 821 235 rachel.parry@bdpx.com |
