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DHL is set to take a minority stake in the private equity-owned parcel carrier Evri, in a deal that positions the German group to bolster its presence in the UK market.
DHL plans to merge its British ecommerce unit into Evri, which was acquired by the US investment group Apollo from Advent International last year for roughly £2.7bn.
The combined group will expand to deliver more than 1bn parcels a year and a similar number of business letters following the transaction, which was announced on Wednesday. DHL could increase its stake in Evri at a later stage.
“We are delighted to welcome a global leader like DHL as a strategic partner and shareholder,” Evri chair and Apollo partner Alex van Hoek said in a statement.
The terms of the deal were not disclosed. DHL said in the joint statement that it had “multiple options to strengthen ties”, adding that Evri would remain majority-owned by Apollo.
The deal is the latest among a series of moves in the UK’s logistics sector and follows Polish group InPost’s takeover of the UK’s Yodel in April.
In recent weeks, the Czech billionaire Daniel Křetínský finalised a £5.3bn deal to acquire London-listed International Distribution Services, which owns Royal Mail, after securing regulatory approval.
Evri was first acquired by buyout investors five years ago when Advent agreed a €1bn deal to acquire the UK operations of the Hermes parcel delivery group from German mail-order company Otto.
As part of the deal, Evri will enter the UK business letter market for the first time. The combined group will have more than 30,000 couriers and van drivers.
Evri delivered 14 per cent of the UK’s parcels by volume in 2022, trailing only Royal Mail and Amazon, according to mail services group Pitney Bowes.
“Over the last decade, Evri has grown tenfold in size, and this transaction will further expand our access into the European and global ecommerce markets,” said Evri’s chief executive Martijn de Lange.
Following the deal’s completion, De Lange will lead the combined business in the UK, with Stuart Hill, head of DHL eCommerce UK, becoming managing director of Evri’s Premium DHL network business. The DHL eCommerce UK executive team will also join the new group.
