News

Jet2 owner raises almost £100m by selling logistics arm

Jet2 and Jet2holidays owner Dart Group is disposing of its distribution and logistics business for almost £100 million.

The sale of Fowler Welch will allow the company to concentrate on its airline and tour operating interests.

Fowler Welch, which has assets of £50 million, is being acquired for £98 million by food and drink logistics supplier Culina Group.

Fowler Welch is a leading provider of food supply-chain services and serves retailers, processors, growers and importers through its distribution network.

The business also has a 50% share in a joint venture fruit ripening and packing firm.

Dart said: “The board believes that the transaction will enable the group to focus on its long-term strategy of growing its leisure travel business and, importantly, enables Fowler Welch to continue to flourish and grow profitably under new ownership.”

The sell-off follows Dart raising more than £170 million through a share placing in May.

The proceeds add to £300 million secured by the company in a government Covid loan and a £100 million credit facility.

Dart revealed that about £172 million had been raised through the issuing of new shares.

Share article

View Comments

Jacobs Media is honoured to be the recipient of the 2020 Queen's Award for Enterprise.

The highest official awards for UK businesses since being established by royal warrant in 1965. Read more.