IForce finalises major asset-sharing agreement with Consignia
iForce(tm), a European leader in digital fulfilment solutions for the direct-to-consumer (DTC) market, has secured investment worth up to GBP5m led by Lynx New Media Ventures, a Bear Stearns and Virgin enterprise, with participation from investors including Firebird Capital, a specialist logistics investor.
iForce(tm) also announces today that it has finalised a major asset-sharing agreement with Consignia which will increase iForce(tm)'s warehouse capacity in the UK and broaden the distribution of its proprietary warehousing and logistics software solution, SMaRT*.
The new funding and increased warehouse capacity will enable iForce(tm) to build on its leadership position in outsourced logistics to the retail direct sales sector. iForce(tm) is already a major provider of such services and today provides complete fulfilment solutions for major clients such as JohnLewis.com, the direct sales channel of the John Lewis Partnership.
Retail direct sales – Direct-to-Consumer – is a fast-growing and changing market with opportunities for retailers through both traditional channels such as catalogue and mail order and new channels such as the web and Direct Response TV. The integrated management of fulfilling purchases through all channels is extremely complex and few outsourcing providers, other than iForce(tm), have the expertise, processes and capabilities to service these needs to the exacting standards required by major retail brands.
Matthew Peacock, Founder of iForce(tm), comments, "This funding from two high-profile investment funds demonstrates the huge potential of our sector and reflects iForce's particular success in fulfilling the exacting direct sales standards required by the very best retailers such as John Lewis." Jamie Reeve, who led the deal on behalf of Lynx New Media Ventures, comments, "Fulfilment is where new retail ventures succeed or fail.
With its clear technological lead and high quality customer base, iForce(tm) has proved itself to be the de facto leader in this arena over the past four years and we are delighted to participate in the next stage of its development." As a consequence of the investment, iForce(tm) will have access to the logistics expertise of Firebird Capital.
Asset-sharing deal with Consignia iForce(tm) and Consignia are at the advanced stages of an agreement to share assets. Consignia has significant warehouse space in Swindon and around the UK to which iForce(tm) now has access. In addition, in selected instances, Consignia and iForce(tm) will combine their capabilities to service the needs of major customers using SMaRT*, iForce(tm)'s warehousing and logistics software solution Mike Trenouth, Group Commercial Director at iForce(tm), comments, "This is a fantastic arrangement for both parties. Consignia adds a leading-edge front-end software solution to its logistics offer and we are able to add warehouse space quickly and easily whenever we need.
We are also working together on some major bids to leading UK retailers." Richard Rogers, Consignia's Head of Commercial for Logistics Solutions comments, "This partnership will deliver a unique capability to retailers in the UK. In conjunction with the strength of our supply chain solutions; our reverse logistics capability, warehousing proficiency, and extensive distribution delivery networks, we look forward to maximising the combined expertise of both parties, bringing a true 'one-stop-shop' solution to customers."
About iForce(tm)
iForce(tm) is one of Europe's leading digital fulfilment businesses, offering clients an end-to-end e-fulfilment solution including consultancy, e-analysis, stock management, customer service and logistics. Founded in 1998 as a division of a long-established fulfilment specialist, iForce(tm) has pioneered the development of traditional fulfilment skills, processes and technologies for the e-commerce world. iForce(tm) has approximately 200 staff and over 500,000 square feet of warehouse space in four locations serving the UK and Continental Europe. Clients today include John Lewis, Sony, learndirect, and DEFRA.
www.iforcegroup.com
About Lynx New Media Ventures LP ("Lynx")
Lynx is a UK-based private equity fund backed by Virgin and Bear Stearns, a leading US investment bank, and chaired by Lord Birt, former Director General of the BBC. Lynx invests in sectors where digital technology is driving high growth and where companies are creating opportunities to reduce costs or offer new value-added services.
