£106m debt-to-equity deal delivers parcels group Yodel for Poland’s InPost
Liverpool-based parcels delivery group, Yodel, has been taken over by Polish logistics group InPost, making it the third largest logistics player in the UK.
It has provided Yodel parent, Judge Logistics Ltd (JLL), with a £106m finance package in return for its 95.5% stake in Yodel. PayPoint retains its 4.5% holding in Yodel.
The deal follows InPost’s acquisition of Menzies Distribution in October 2024, which gave it full control over its entire logistics process in the UK.
The JLL acquisition was structured as a debt-to-equity conversion, with InPost converting its existing loan to JLL into equity.
Until the transaction date, InPost had provided JLL with financing amounting to £106m in the form of convertible loan notes.
InPost says it has a clear plan on the integration of Yodel and its goal for this deal is to be EBITDA accretive within one year.
The acquisition builds on the partnership established between InPost and Yodel in October 2024, when Yodel began providing last-mile services through InPost’s ‘locker-to-door’ service.
Furthermore, the acquisition will allow InPost to achieve accelerated UK growth and market share expansion.
The business will handle approximately 300 million+ parcels annually, immediately expanding its merchant base to more than 700 e-commerce stores, and approximately eight per cent market share, with 10,000 automated parcel machines totalling in excess of 18,000 out of home points.
InPost will also offer merchants next-day to door delivery combined with the extensive out of home network resulting in one InPost brand delivering a comprehensive service to the UK market.
The merged business also diversifies InPost’s volume by segment and geographically, with the UK contributing approximately 30% to InPost group’s revenue.
Also, the acquisition presents “a strategically compelling opportunity” taking into account the size of investment and market share gained.
Rafał Brzoska, founder, and CEO of InPost Group, said: “This acquisition marks a pivotal milestone in InPost’s journey to revolutionise the UK delivery market as well as the group pan-European presence.
“We have just fast-forwarded five years of organic expansion in the UK and it is a clear reflection of our long term commitment to this market, a market where we see enormous opportunity for growth.”
He added: “Our logistics model has transformed delivery in other European markets, and with this acquisition, we are now well positioned to do the same here.”
InPost CEO, Neil Kuschel, said: “This acquisition is a game changer for InPost’s operations in the UK. Combining doorstep deliveries with our unrivalled locker network, we are reshaping the future of parcel delivery.
“We will be able to provide customers and e-commerce retailers with the reliability, flexibility, and efficiency they expect. We’re excited to deliver more for the UK.”
Gill Ogilvie, national lead organiser for trade union GMB, welcomed the deal, saying: “Yodel has endured a tumultuous 12 months.
“GMB welcomes today’s news which will secure workers’ future for the long term.
“The investment will help put Yodel back into the game as a leading competitor in the UK market and we look forward to a positive working relationship.”
A Fieldfisher team of Tim Bird, Jim Sharkey, Adam Jones and Wes Grimm acted for Yodel. Fieldfisher’sRuth Lewis and Maxine Smith acted for management, while CMS advised Inpost and Pinsents advised PayPoint.
In February last year Yodel, previously owned by the Barclay family which also controls Liverpool-based online retailer Very Group, was rescued in a takeover deal by a privately-funded consortium, protecting thousands of jobs.
The consortium comprised YDLGP, backed by Jacob Corlett, founder of international parcel delivery group Shift, and merchant bank Solano Partners.
Last August it secured an £85m funding package to enable it to invest in plans for further automation and modernisation over the next three years, particularly focusing on the acceleration of consumer out of home deliveries.
The investment was supported by a consortium of investors including PayPoint and IGF (Independent Growth Finance).
