REG - DX (Group) PLC - Major investment in electric vehicles

DX (Group)Announcement

28/06/2023 07:00

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RNS Number : 1070E  DX (Group) PLC  28 June 2023

AIM: DX.

DX (Group) plc

("DX" or "the Group" or "the Company")

 

£3m investment in Electric Vehicle Fleet

 Supports IKEA partnership

 

DX, the provider of delivery solutions, including parcel freight, secure
courier, and logistics services, is pleased to announce a further £3 million
investment in new electric vehicles, to be used exclusively for the Group's
delivery and logistics partnership with IKEA, the home furnishings retailer.

 

This new investment will be used to add 53 new electric vans to the fleet and
is the Group's second major round of funding in electric vehicles for its IKEA
contract. It follows the launch of an initial tranche of electric vans for
IKEA in August 2022, and adds significantly to the existing £750,000 of
investment in the IKEA-dedicated electric fleet. The new vans will be
operating from six DX/IKEA depots in Heathrow, Milton Keynes, Reading,
Sheffield, Southampton, and Willenhall.

 

The new vehicles are the award-winning Maxus e-Deliver 9 marque vans, and have
an operational carrying capacity of 1,162kg and a single-charge range of over
219miles, with zero output emissions. The vehicles will be dual-liveried with
DX and IKEA branding.

 

IKEA has been a DX customer for over seven years, and uses the Group's
logistics and 2-Man services in support of its online and retail operations.
DX is also IKEA's largest provider of 2-Man home delivery services in the
UK.

 

This £3 million investment is in addition to DX's wider £20 million-£25
million three-year, capital investment programme, which is now in its second
year. Investment to date has been focused on depots, equipment including
vehicles, and in technology. DX is in the process of increasing the overall
number of electric vehicles within its fleet, particularly for deliveries in
Central London.

 

John Welsh, Fulfilment Sourcing Manager at IKEA UK & Ireland, commented:

"As our largest provider of 2-person home delivery services in the UK, our
partnership with DX is fundamental for IKEA in reaching our 100% zero-emission
goals for home delivery. This latest investment therefore brings a significant
and very positive development in our journey together."

 

Ian Bolton, Managing Director for DX Logistics / 2-Man, commented:

"We share IKEA's goal to move to more environmentally-friendly business
practices, including the use of electric vehicles for deliveries, and are
delighted that, with this investment, we will further reduce carbon emissions
while maintaining the highest possible service standards."

 

Enquiries:

 DX (Group) plc                                            T: 020 3178 6378 (c/o KTZ
 www.dxdelivery.com (http://www.dxdelivery.com)            Communications)
 Ian Bolton, Managing Director for DX Logistics / 2-Man
 David Mulligan, Chief Financial Officer

 KTZ Communications                                        T: 020 3178 6378
 Katie Tzouliadis/Robert Morton

 

NOTES TO EDITORS:

About DX (Group) plc

www.dxdelivery.com

 

DX is a well-established provider of a wide range of delivery services to both
business and residential addresses across the UK and Ireland. Established in
1975 as a Document Exchange service to the legal sector, DX now provides one
of the widest ranges of overnight delivery services in the market, as well as
comprehensive logistics services. The business transports items ranging from
confidential documents to large, awkward-to-handle freight that is unsuitable
for standard conveyors.

 

DX is currently in its second year of a major capital investment programme,
which is investing between £20 million and £25 million across the Group to
support growth plans. The funds are mainly being used to enlarge and upgrade
the Group's depot network, as well as expand its parcel-handling equipment and
to enhance IT systems.

 

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