Huboo acquires Sorted to create joined-up logistics platform

Huboo has acquired delivery technology company Sorted, bringing fulfilment, delivery and returns together on one platform.

The combined business will serve more than 400 customers across the UK and Europe and process more than 100 million parcels a year.

Bristol-based Huboo is adding Sorted's delivery management technology to its fulfilment operation. Manchester-based Sorted provides tools for shipping, tracking, returns and delivery analytics.

The combined platform represents about £1 billion in gross merchandise value a year and will operate from sites in Bristol, Manchester, Eindhoven and Madrid.

Independent offering

Sorted will continue to operate as a carrier- and fulfilment-agnostic delivery technology platform. Its products will remain available to third-party logistics providers and large retailers that do not use Huboo's fulfilment services.

The acquisition expands Huboo's presence in the North West and strengthens its base across the UK and Europe. The Manchester office will remain a centre for delivery and returns technology.

The deal is backed by existing investors. More than £200 million has been invested in the group since it was founded, including more than £30 million since the start of last year.

The enlarged business will combine fulfilment, shipping and returns data in one system. Huboo expects this to help retailers manage carrier choices, improve handovers between warehouse and delivery networks, and gain better visibility into delivery and returns performance.

Sorted's customers include Marks & Spencer, Asda and JD Sports, giving Huboo exposure to larger retail accounts as it seeks to expand beyond fast-growing online brands.

The acquisition follows ownership changes at Huboo after a buyout backed by BlackRock, Ada Ventures and Atalla Capital. The parent company of Huboo and Sorted is Brislington Holdco.

Strategic outlook

Jo Kennedy, Managing Director, Huboo, described the transaction as a step towards a more joined-up operating model for online retailers.

"Bringing Sorted into the Huboo Group allows us to connect fulfilment, shipping and returns into a single intelligent platform. Together, we can help eCommerce brands, from fast-growth disruptors to established retailers, operate more efficiently, deliver better customer experiences, and scale with greater confidence," said Kennedy.

Paul Hill, Product Director, Sorted, said the businesses were well matched.

"Becoming part of the same group as Huboo gives our technology, people and customers a stronger long-term platform. There is a clear fit between Huboo's fulfilment capability and Sorted's delivery technology, and we are excited by what the two businesses can build together over time," said Hill.

The deal also strengthens Atalla Capital's effort to build a broader logistics and commerce software group around Huboo. Mahmoud Atalla, Executive Chairman, Brislington Holdco, said the acquisition supports that strategy.

"Sorted represents a natural next step in Huboo's transformation into a leading European eCommerce fulfilment and supply chain platform. By bringing together two highly complementary businesses, we are building a stronger proposition for customers across the spectrum, from emerging brands to large-scale retailers, while continuing to support Sorted's broad ecosystem of logistics and retail partners.

"This transaction is backed by continued investor support, with more than £200 million invested in the group since inception, including more than £30 million since the start of last year. This will help accelerate Huboo's growth, with further investment planned as we scale.

"Our ambition is to build the core operating platform and underlying systems for European commerce, targeting growth beyond 100 million parcels annually and around £1 billion in GMV over time," said Atalla.