HIG Capital’s subsidiary will acquire the entire share capital of DX, a move believed to unlock new market opportunities for the logistics group, according to statements from both parties. The deal, underlining a premium of 33% to DX’s closing price on September 8, has garnered support from shareholders representing 31.6% of DX’s equity.
DX, established in 1975 as a document exchange service catering to the legal sector, has evolved into a comprehensive provider of overnight delivery and logistics services. The company operates through two divisions – DX Freight and DX Express.
The acquisition is set to enable DX to venture into new markets, leveraging the financial strength of HIG Capital. Tobias Borkowski, Managing Director of HIG, expressed excitement about the partnership, stating:
“We look forward to partnering with the DX management team in accelerating DX’s next phase of growth.”
Mark Hammond, Chairman of DX, highlighted the company’s robust performance in recent years, noting the successful implementation of a turnaround plan since 2018. Hammond stated:
“This progress has been most recently evidenced in our latest full-year results which recorded the highest revenue in our 48-year history.”
DX shareholders will receive 47.5 pence in cash and a 1 pence final dividend for the year ended July 1 as part of the deal. The offer has received unanimous approval from DX directors, who intend to recommend it at the court meeting.
Liad Meidar, Managing Partner of Gatemore Capital Management LLP, DX’s largest shareholder with a 19% stake, expressed satisfaction with the turnaround of DX, stating,:
“The company has a bright future ahead, and we wish them continued success.”