Jersey Post Group set to acquire Woodside Logistics

Posted • 05 January 2021

The Jersey Post Group has today announced its intentions to acquire the Jersey freight and delivery company, Woodside Logistics. This acquisition consolidates the Group’s commitment to Jersey and will facilitate the provision of an end-to-end service that encompasses marketplace ecommerce platforms, final mile delivery services through to international imports and exports for locally based businesses and residents.

Woodside Logistics was established in 2015 as a result of challenges with transporting goods from the Channel Islands to the UK and Europe, and the high cost of inter-island transport. In addition to its Jersey headquarters, the company has established warehousing and shipping depots in Guernsey and the UK and has extensive logistics experience across a range of industry sectors for both commercial and domestic customers.

In 2015, the Jersey Post Group embarked on an ambitious international strategy that would help the organisation to address the long-term terminal decline in domestic mail volumes, and to exploit opportunities outside of the finite local market. To date, this strategy has been successfully implemented with the acquisition, or investment in, supply chain partners that strengthen the Jersey Post Group’s ability to offer an end-to-end logistics solution to a significantly larger customer base. The acquisition of Woodside Logistics completes this solution by providing a UK warehousing and a freight and shipping service between the UK and the Channel Islands.

“Worryingly, Covid-19 has greatly accelerated the continued decline in our traditional letter mail, and we are now seeing around 20% less volume,” stated Tim Brown, Jersey Post Group Chief Executive. “However, it has also highlighted a range of new strategic opportunities, most notably in the movement of goods and merchandise in and out of the Island, that will help to underpin our core operation and provide longer-term sustainability for this service. Whilst the proposed acquisition enables us to complete our strategic objective of providing a unique end-to-end logistics solution for customers across the globe, it will also bring increased competition, greater choice and an enhanced freight service for our valued local customers,” he continued.

In a time of significant uncertainty, this investment demonstrates the Group’s confidence in the local market and a commitment to continue to invest in the Island. Over the last five years, over £7m has been invested in its postal business to help enhance services through the recruitment of additional employees, fleet improvements and the introduction of electric vehicles and most notably, automation and IT improvements at key points in the operational process. This continued investment in on-Island infrastructure ensures that Jersey Post is able to leverage relevant market opportunities, including the recent acquisition, that help support local businesses and provide continuity, choice and innovation for Islanders.

In 2015, the Jersey Post Group acquired UK-based premium logistics specialists Fraser Freight. This acquisition enabled the Group to access valuable European shipping lanes as well as new routes into multiple European countries. The acquisition of Woodside will connect not only with this established logistics network, but also with the other elements of the Group’s global network which includes mail and parcel services for wholesale and retail customers, ecommerce platforms and customs clearance services for imports and exports.

Charlie Gallichan, owner of Woodside Logistics commented, “This represents a really exciting opportunity for Woodside Logistics. Since 2015, we have worked hard to establish what is now an excellent, cost-effective and timely range of services between the UK and the Channel Islands. Through this new relationship, Woodside will now be able to leverage established European networks and shipping options, customs clearance expertise and a global network of partners that will greatly increasing our reach for imports and exports and provide significantly more choice for customers both on and off Island.”

The acquisition is set to complete at the end of February, with no impact on reporting structure or headcount for either party.

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