Private Equity Group Considers Offloading Parcel Delivery Firm Amidst Financial Struggles

  • Evri owner Advent International considering offloading business for £2bn
  • Acquired 75% stake in Evri (formerly Hermes UK) in 2020 with £1bn debt
  • Remaining 25% owned by German mail order group Otto
  • Group extracted £762m dividend in 2022
  • Delivery group’s revenues flat at £1.46bn for FY23, swung to bottom line loss of £77m

Evri’s owner, Advent International, is reportedly planning to sell the company for £2bn. The private equity group acquired a 75% stake in Evri (formerly Hermes UK) in 2020 with over £1bn in debt and now owns the remaining 25% is held by German mail order firm Otto. In 2022, the company extracted a £762m dividend. Despite flat revenues of £1.46bn for the fiscal year ending February 2023, Evri experienced a bottom line loss of £77m.

Factuality Level: 8
Factuality Justification: The article provides relevant information about Evri’s potential sale and its financial situation without any clear signs of sensationalism or opinion masquerading as fact. However, it lacks some details such as the source of The Mail report and more context on the company’s performance beyond the revenue figure.
Noise Level: 5
Noise Justification: The article provides some relevant information about Evri’s potential sale and financial situation but lacks in-depth analysis or actionable insights. It mainly reports on rumors and speculations without providing much context or evidence to support the claims.
Financial Relevance: Yes
Financial Markets Impacted: The potential sale of Evri may impact the stock prices of Advent International and possibly other companies involved in the delivery sector.
Financial Rating Justification: This article discusses a potential sale of Evri, a company in the delivery sector, which could affect the financial markets through changes in stock prices and business operations.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: There is no extreme event mentioned in the text.

Reported publicly: www.retailsector.co.uk