Delamode launches IPO to fund major expansion bid
UK forwarder and groupage operator lists on the AIM of the LSE
UK forwarder and groupage operator Delamode has listed on the Alternative Investment Market (AIM) of the London Stock Exchange under Xpediator, its holding company. The company raised £5m from the sale of 20.8m shares. The company aims to use the money for big expansion plan into new markets. The money will be used for product expansion and acquisition strategy.
Chief executive Stephen Blyth said a successful IPO would represent a significant transition for the company.
“As an experienced provider of freight management services across the UK and Europe, our understanding of transport and distribution has drawn strong interest from investors,”
“By taking the business public, we can expedite our organic growth strategies, as well as pursue targeted acquisitions, to take advantage of a highly fragmented marketplace.”
Earlier, the company had announced the acquisition of Lithuania-based e-commerce delivery provider PirkAnglijoje. At the time, marketing manager Dave Gladen had said that he hoped for “a snowball effect”. The company is looking to expand Xpediator’s online delivery service, EshopWedrop, in Eastern Europe and franchise the business model swiftly. The company has also launched road freight services between Northern Europe, Iran and the Caucasus destinations of Georgia, Armenia and Azerbaijan as these countries had been attracting significant foreign investment through governments adopting business-friendly policies.
“The announcement is, in part, a response to customer demand, but it is also about us taking a view that trade levels are set to continue to increase across this region,”
“We are very pleased to open these routes, servicing the demand for the import and export into these countries, particularly for industrial commodities such as mineral and chemical products.”
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