Wincanton acquires Caledonia Bidco for £23.9m
Logistics firm Wincanton has agreed to acquire Caledonia Bidco, the holding company of Cygnia Logistics, a specialist mid-market eCommerce and multichannel eFulfilment provider.
Wincanton said on Monday that it will purchase Cygnia from Crescent Capital for a consideration of up to £23.9m on a cash-free, debt-free basis.
The London-listed group stated the acquisition was in line with its strategic focus on eCommerce and will bolster its growing digital and eFulfilment business division.
"Cygnia's highly complementary offering will provide Wincanton with access to exciting new growth opportunities in the mid-market sector," said Wincanton. "The acquisition follows the Group's investment earlier in 2021 in its state-of-the-art, automated eFulfilment facility in Rockingham, Northamptonshire, to create additional capacity to drive growth in eCommerce."
Separately, Wincanton said year-to-date core revenue was up over 25% year-on-year, driven by continued strong volumes, new business growth and a recovery from pandemic-impacted trading in the early part of 2020.
While growth of more than 15% was seen in all sectors, Wincanton did note that driver shortages continued to have an impact on business operations.
"The group remains on track to deliver full-year profits in line with market expectations and the board remains confident in the future growth opportunities," said Wincanton.
As of 1020 BST, Wincanton shares were up 1.49% at 387.70p.