Independent logistics firm Yodel has been saved by the newly formed YDLGP Limited, a consortium of investors which includes the leadership team behind Shift – a rapidly growing UK-based logistics platform – and its founder Jacob Corlett.
YDLGP, which also includes independent boutique investment bank Solano Partners, acquired Yodel for an undisclosed amount, safeguarding thousands of UK jobs. YDLGP stressed it will providing surety for drivers, suppliers and customers alike.
Following the deal, the enlarged group – that also includes the relaunched Tuffnells – will form a ‘super scale’ logistics platform serving both the parcels market through the Yodel business, and larger, irregular dimensions and weights (‘IDW’) freight through the Tuffnells brand.
Shift’s AI-driven technology platform would then become the platform that brings automation and efficiency to both businesses. Shift added that its leadership team will provide technology and operational expertise, having successfully turned around the fortunes of the Tuffnells brand.
Jacob Corlett, CEO of Shift, said: “I am incredibly proud of what we have built at Shift in the last few years, rapidly scaling our tech-logistics platform, and M&A has been a big part of that success. At the heart of this merger is Shift’s revolutionary AI-driven technology platform, promising a future where efficiency and automation become the backbone of logistics operations.
“I look forward to working with Mike and the Yodel team, and with the support of YDLGP, continuing our journey building and scaling logistics through technology.”
Yodel serves a wide-ranging and growing client base across the retail sector, such as very.co.uk, Wren Kitchens, Gousto, Vinted, and Argos. It makes 190+ million deliveries annually from its 50 sites (47 customer delivery depots and three sortation hubs).
For the year ending 31 December 2023, Yodel reported generating £561.8mn revenue and has continued to take market share with new clients including Boden and Zalando. Yodel’s market position remains strong in the fast-growth Customer to Anywhere (‘C2X’) market and the Group will continue to increase its market share.
Mike Hancox, CEO of Yodel, added: “We’re extremely excited to begin the next chapter of Yodel’s journey, leveraging the scale of our business with the support of new shareholders and the future benefits of the Shift technology platform. Our customers have always been our priority and the transaction announced today allows us to ensure continuity for them, as well as our employees and wider
stakeholders.”
