Kinaxia acquires counterpart

Macclesfield-based logistics firm Kinaxia Logistics has acquired the business and assets of Nelson Distribution.

Nelson’s parent firm, KNP Logistics Group, based in Belper, Derbyshire, had filed a notice of intention to appoint administrators.

In its accounts for the year ending May 31 2022, Nelson Distribution reported turnover of £26.5 million, up from £23.2 million a year earlier, while operating profit dropped slightly to £990,227 from £1 million a year earlier. At the time, Nelson’s fixed assets were valued at £952,904 and current assets at £11.1 million, while net assets stood at close to £4.1 million.

The acquisition sees Kinaxia acquire Nelson Distribution’s fleet of 117 vehicles, along with its customer base and premises and all 170 staff, who will transfer to Kinaxia under TUPE arrangements. The acquisition adds to Kinaxia’s existing fleet of over 850 vehicles, 2.7m sq ft of warehouse facilities across the UK and 1,600-strong workforce.

Kinaxia transports goods for a wide variety of sectors, including retail, food and drink, manufacturing and leisure, providing services such as e-fulfilment, storage, distribution, contract packing and returns management. In its accounts for 2021, the firm reported revenue of £184.9 million and pre-tax profits of £3.2 million.

Kinaxia Chief Executive Simon Hobbs commented: “We are pleased to have reached agreement to acquire the trading and assets of Nelson Distribution. It’s a good business and an excellent fit for Kinaxia. We share the same values, and Nelson Distribution is based in a good strategic location for our group.”