The acquisition of County Durham’s NFS360 Connect by DESLOG Groupe marks a significant strategic move for the French logistics powerhouse.
- DESLOG Groupe aims to enhance its capabilities to navigate the post-Brexit customs landscape through this acquisition.
- Established over 45 years ago, the NFS360 Connect had a recent revenue surge to £11.2m, despite a drop in pre-tax profits.
- French firm DESLOG’s first UK acquisition leverages NFS360’s strategic locations and extensive customer base.
- The partnership promises growth opportunities, with both firms aligned in culture and customer service approaches.
DESLOG Groupe, a major player in the French logistics sector, has strategically acquired NFS360 Connect, a County Durham-based supply chain specialist, in light of post-Brexit challenges. The acquisition aims to bolster DESLOG’s capabilities in navigating complex customs requirements, reaffirming the company’s commitment to expanding its operational reach and enhancing logistical efficiency.
NFS360 Connect, originally established as Northern Freight Services in 1978 by David Lawson, operates from its headquarters in Peterlee. The firm, renowned for its expertise in logistics and warehousing, manages 34 trucks and 48 trailers, employing over 90 staff across four depots. The company boasts an impressive 250,000 square feet of warehousing and nine acres of external storage space, reflecting its capacity and operational scale.
In its latest annual reports as of September 2023, NFS360 reported revenues rising to £11.2 million, up from £10.9 million the previous year. However, its pre-tax profit saw a decline to £551,177, compared to £1.2 million the prior year, indicating a period of transition and opportunity under new ownership.
This acquisition marks DESLOG’s inaugural venture into the UK market, driven by the allure of NFS360’s strategic locations, established logistics network, and stellar reputation for customer service. The integration of NFS360’s operations will enrich DESLOG’s existing expertise and open new avenues for growth, particularly in navigating the intricate freight customs landscape between the UK and Europe.
Michael Banks, the Managing Director of NFS360, will continue to helm the company, ensuring continuity and stability post-acquisition. Ian Lawson, a shareholder, remarked on the promising future this acquisition signals for NFS360, highlighting the potential for accelerated growth and service enhancement.
The deal was facilitated with the professional guidance of an advisory team from Evolve Corporate Finance, led by Justin Sparks. The team’s sector expertise was pivotal in identifying DESLOG as a suitable partner, underlying the macroeconomic shifts brought about by Brexit, which continue to present both challenges and opportunities in the logistics market.
The DESLOG-NFS360 Connect acquisition sets a promising precedent for cross-border logistics partnerships in a post-Brexit era.
