Parcel courier Yodel is on the brink of administration as rescue hopes dwindle, posing potential disruptions to online shopping.
Insolvency experts from Teneo are being considered amid failed efforts to secure a buyer for the struggling company.
Though no decision has been made yet, Yodel stated it’s “business as usual.”
The potential insolvency adds pressure to the Barclay family, Yodel’s owners, who also own The Telegraph and are burdened by heavy debts. Urgent financial injection is needed within two weeks due to looming obligations. Takeover interest has diminished, with rivals and private equity funds showing dwindling appetite.
Yodel’s predicament, led by Clearwater advisers, is closely watched by HSBC, its largest creditor. Dominated by major players like Royal Mail and Amazon Logistics, Yodel’s market share stands at 6%. Customer satisfaction remains a challenge, with 40% of recipients reporting issues last year.
This potential administration is part of the broader upheaval in Barclay family businesses, including The Telegraph’s recent debt dispute.
Yodel’s parent company, Logistics Group Holdings, posted its first pre-tax profit in 2021 amidst a pandemic-driven surge in turnover. However, recent performance remains unclear as financial filings are overdue.
CEO Mike Hancox expressed optimism about Yodel’s performance, anticipating close to breaking even.
UPDATE
Having been a service partner with yodel for 5 years there Perth depo was a complete shambles displayed management, theft, lack of customer care it’s no surprise this company is in a bad way
A tough business for sure , this article certainly won’t help either ! As who now is going to trust sending anything via Yodel ?
I cringe when I hear that yodel or evri are delivering. I pray that my turns up undamaged. They say the have delivered to a secure place but is put in the communal bin chute.
There are always issues with Yodel drivers, leaving parcels on doorsteps or delivering to the wrong address, but reporting they have delivered.
IF IT CLOSES DOWN ITS THE BEST THING THAT COULD HAPPEN.
THEY ARE TOTALLY USELESS
If this is the case then good luck to all involved , I was with Tuffnells until June last year.
They went under which was not good.
I know work for another carrier and boy are things different and not in a good way either .
I don’t use any company that use yodel because there not reliable
Not surprised , im still waiting on a parcel that was sent 25th January and no proper explanation as to why it is delayed
Just feel for the ppl that have jobs there 😕
All of the comments I have read about Yodel are true. Dreadful business and those companies that use Yodel for their deliveries clearly don’t care about their customers. Over 40% of their deliveries there are issues with absolutely shocking.