28th May 2015 08:45
LONDON (Alliance News) - DX Group PLC Thursday said it has agreed to buy a 44 acre site in the West Midlands in England to build a "major new hub" over the next two to three years to replace the company's existing sites which lie around 3.5 miles away.
The mail and parcel deliverer said the capital investment, including the price of purchasing the 44 acre site, will be around GBP35 million, which will be funded from existing cash resources and debt facilities, it said in a statement.
The site purchase is subject to planning consent and the project is expected to be completed over the next two to three years. The hub is intended to replace DX's current sites at Willenhall, approximately 3.5 miles away, "securing existing employment and creating substantial additional capacity, enhanced customer service levels and increased efficiencies," DX said.
DX shares rose 0.3% to 85.0 pence per share on Thursday morning.
By Joshua Warner; [email protected]; @JoshAlliance
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