NFT owner EmergeVest had made a £30m bid for pallet network Palletforce.
The acquisition, which remains subject to shareholder approval, will bring investment and also the opportunity to take the Burton-upon-Trent business global thanks to EmergeVest’s logistics interests in he UK and China.
Palletforce, which was founded in 2001 by Mick Scarlett, has 88 shareholder haulier members and had a turnover of £18.4m in the year to 31 August 2014 (from network fees).
Total network revenue (including deliveries by the membership) was £77.7m in the same period.
Palletforce added that pallet volume in the first six months of the current financial year had increased by 20% to reach nearly 1.5 million pallets collected and delivered.
John Brotherton, chairman of Palletforce, said: “The needs of our network members have been uppermost in our discussions with EmergeVest and they can be confident that their interests have been respected.
“I am convinced that the highly successful management team at Palletforce will take this business to new heights. EmergeVest will be a supportive partner to them and our members.”
Michael Conroy, chief executive officer of Palletforce, added that the offer would allow the business that he has headed since April 2008 to write a new chapter.
“In EmergeVest, I believe we have the ideal partner to help us open up exciting new market and commercial opportunities, especially across Asia.
“Our vision is for Palletforce to become the world’s leading pallet network and today’s news takes us one step closer to that goal,” Conroy said.
EmergeVest purchased NFT Distribution in April 2014 and also has interests in freight forwarder Allport Cargo Services.
Heath Zarin, MD, said: “We are very impressed by the Palletforce management team and its network members. We look forward to working with all stakeholders to continue the successful development of the business.”
