- 25 May 2017
- Transport / Logistics Services
Clipper Logistics has bought Tesam Distribution, a Peterborough based retail distribution specialist. The deal is believed to be worth £11.75 million.
The distribution company had an operating profit (EBIT) of £1.8 million on sales of £19.6 million in the year to 30th June 2016. Established in 1984, Tesam now operates from three sites around the Peterborough area, totalling more than 1.1 million square foot of space and employing more than 250 people.
After the deal is completed, Clipper has said it plans to increase capacity at the main site at Ivatt Way through the installation of mezzanine floors as well as additional racking and handling capacity. According to Clipper, this will “enhance the ability of the group to implement its strong pipeline of new business. The acquisition of Tesam will be immediately earnings-enhancing to the group.”
Tesam was principally owned by managing director Stephen Smith who will become a consultant to the Group following completion. The other members of the management team will remain as full time employees of the business.
Clipper chairman Steve Parkin said: “The acquisition, coupled with our planned investment in additional capacity, will enable us to offer existing and prospective customers of both Clipper and Tesam greater operational flexibility, and will provide further headroom for the delivery of our strong business pipeline.”
Tesam was founded in London in 1984 specialising warehousing and merchandise handling services for retailers. It moved to Peterborough in 1993. In 2010, TDL consolidated its operations and acquired an additional one million sq ft facility in Peterborough.
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