German firm DHL is looking to expand its reach in the UK by merging its British ecommerce unit with Evri. The CMA will now examine the risks for competition.
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The UK’s competition watchdog said it would investigate a merger between British delivery firm Evri and DHL’s ecommerce parcel unit.
The Competition and Markets Authority (CMA) announced the probe on Wednesday, and it is inviting interested parties to submit their comments before 25 June. After this, the CMA will formally launch its investigation.
DHL said that it was merging its UK ecommerce operations with Evri last month and explained that it would take a minority stake in the new group.
If it gets the green light, the combined entity will be one of the biggest parcel couriers in Britain, deploying more than 30,000 couriers and van drivers — and a further 12,000 workers.
Evri delivered 14% of the UK’s parcels by volume in 2022, according to shipping and mailing firm Pitney Bowes.
The new group would deliver more than 1 billion parcels and 1 billion letters each year, according to Evri and DHL.
“This transaction enables the combined entity to offer a better service and a wider range of shipping options, as well as increasing efficiencies through the interlinkage of two complementary parcel networks,” a DHL spokesperson told Euronews.
“We are comfortable with the ownership structure that has been reached through this transaction and are excited about the growth opportunities this partnership brings,” they added.
