DX opens another ex-Tuffnells site in Nuneaton
6th Nov 2023 10:49
(Sharecast News) - Delivery specialist DX Group announced the reopening of another former Tuffnells Parcels Express depot on Monday in Nuneaton.
The AIM-traded firm said it was one of the 15 depots it acquired from the administrator of Tuffnells in late June, bringing the total of reopened former Tuffnells sites to 14.
It explained that the Nuneaton depot would function as an additional central hub for the group's parcels business, which is a component of the DX Express division.
The depot was intended to enhance capacity and provide support during seasonal demand surges in light of sustained growth in the parcels segment.
DX said the new facility occupies a 2.75-acre area within the Bermuda Industrial Estate, south of Nuneaton, and boasted an 18,994 square-foot purpose-built cross-dock facility and ample space for 47 trailers.
The location had strong transport connections to both the M6 and M69 motorways.
In addition to expanding capacity, the board said it would optimise operational efficiency by reducing stem mileage and carbon emissions, ultimately elevating customer service levels - a primary focus for the group.
"We continue to invest significantly in the business and are pleased to add an additional central hub in Nuneaton to serve our DX Express division," said chief executive officer Paul Ibbetson.
"This new hub supports the existing hub and increases the capacity and capability of our Parcels operation, which is growing strongly, and delivers further efficiencies, environmental and customer service benefits."
Ibbetson said the company had now reopened all but one of the 15 former Tuffnells depots that it took on at the end of June, adding that he was pleased with "the efficiency and speed" with which DX had integrated them into its networks.
"The creation of an efficient depot network is key to our growth plans over the short to medium term."
At 1027 GMT, shares in DX Group were down 1.06% at 43.83p.
Reporting by Josh White for Sharecast.com.