Whistl chief executive Nick Wells and his senior team have completed the management buyout of the company from PostNL, although the parent firm will retain a minority stake in the business.
The move, which has seen PostNL take a €43m loss on the venture, follows the company’s withdrawal from the end-to-end delivery market after the collapse of a finance deal earlier this year.
However, Wells – who has been the boss of Royal Mail’s main rival virtually since PostNL bought his Circular Distributors company in 2001 – insisted the operation remains a viable, profitable business but would need new investors.
It is the second MBO Wells has led, having already bought CD from its management in the early Nineties. He had joined the board in the Eighties, aged 28.
In a statement, PostNL commented: “Since the announcement of the MBO on July 30 2015, parties have reached agreement on the outstanding conditions, including the financing.
“This MBO follows PostNL’s strategic review of its activities in the UK. As part of the transaction PostNL will retain 17.5% of the shares in Whistl and will continue supporting the business as a shareholder.”
Whistl is the second largest postal operator in the UK with business divisions down stream access (DSA) and international, door-drop media, packets and parcels and logistics. Exact details of how much the MBO cost have not been revealed.
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