Yodel looking to recapitalise, months after rescue deal for Liverpool parcel group

Liverpool-based UK parcel delivery group, Yodel, which was rescued in a takeover deal in February this year, is in talks over new funding.

The business was owned by the Barclay family, which also controls online retail group Very, also based in the south Liverpool district of Speke, before the rescue deal by a privately-owned consortium comprising YDLGP, backed by Jacob Corlett, founder of international parcel delivery group Shift, and merchant bank Solano Partners which rescued thousands of jobs.

However, last month Yodel announced that at least 230 jobs are at risk after it revealed plans to close its site near Oldham.

Now, it has emerged that the parcel delivery group is in talks to seek extra funding, according to Sky News.

It is liaising with a number of prospective financial backers, including London-listed Paypoint, about an injection of capital into the business.

Paypoint has a partnership with Yodel through its Collect Plus division.

The moves are reportedly part of a broader effort to recapitalise Yodel.

Paypoint could invest up to £10m into Yodel, with other parties providing between £10m and £40m.

Yodel makes more than 190 million deliveries annually from its sites across the UK.

Last year, it generated £561.8m in revenue, adding clients including eBay and Boden.