Menzies Distribution buys Gnewt Cargo

Menzies Distribution has bought Gnewt Cargo, the London-based delivery firm which runs the UK’s largest all-electric commercial vehicle fleet. Founded in 2008, the company made over three million deliveries in London last year, offering final-mile services for retailers, e-tailers and parcel carriers such as Hermes and TNT.

In a statement sent to Post&Parcel today (31 August), Menzies Distribution said that the deal supports the company’s “diversification strategy” and will progres its plans to “extend its neutral parcel consolidation services across the UK and Ireland”.

Greg Michael, Managing Director, said:  “As a holder of the Carbon Trust Standard since 2009, Menzies Distribution has long been focussed on our environmental responsibilities. Acquiring Gnewt was an exciting opportunity for us to advance our sustainability agenda whilst growing our neutral consolidation offer to the parcel market.

“Everyone recognises that goods need to be moved in and around congested city centres. The Gnewt model shows it can be done successfully whilst minimising environmental impacts.

“This acquisition gives us a stronger, cleaner presence in the London market. and with our national reach, gives us a platform to introduce all-electric distribution to other city centres in the UK.”

Menzies Distribution has diversified its operations beyond the traditional newspaper and magazine distribution market in recent years. Menzies Parcels now delivers more than three million items per year.

Menzies has also strengthened its portfolio of retail logistics contracts, which include the three-year national contract for WH Smith’s national network of 1200 stores, and a UK-wide contract with catering equipment supplier Nisbets.

In May, Menzies purchased the Irish distributor EM News Distribution in a €3.6m buy-out.

Menzies also explored the possibility of merging its Distribution business with the DX Group – but negotiations between the two companies were formally called off on 14 August.