Yodel, part of Barclay-owned Logistics Group Holdings, delivered around 190 million parcels in 2023, but has struggled to find profitability outside of the pandemic boom years.
The Barclays have stepped up their efforts to sell the company, and are in talks with trade and financial bidders, according to Sky News. One source at a rival operator told the news service that the family was considering a fresh £25m investment in the struggling firm.
A Yodel spokesperson said a strategic review was “nearing its conclusion” with a number of interested parties.
The half-billion-pound firm reported an operating loss in 2018, 2019 and 2020 of £110m, £65m, and £24m respectively before the pandemic boom year of 2021, when it made a £33m operating profit.
The group’s accounts for 2022 were due by December 2023, but had not yet been submitted to Companies House at the time of writing – though Yodel announced on Monday (5 February) that revenues were up 3.4% in 2023.
Yesterday, The Telegraph reported that administrators from financial advisory Teneo had been lined up to take on the firm should the sale process fail.
Yodel’s spokesperson said the company was “focussed on business as usual”.
A slew of unnamed sources have speculated across the media that the business is close to failure, however, with The Telegraph citing an anonymous source “close to negotiations”, who said a cash injection – likely the £25m cited by Sky News – was needed within two weeks to service existing financial obligations.
One potential buyer has been pegged as The Delivery Group, an independent rival firm based nearby in Cheshire.