Eddie Stobart Logistics

Eddie Stobart Logistics plc (LSE: ESL) (trading as Eddie Stobart) is a British multimodal logistics company, with interests in road haulage, rail freight, deep sea and inland waterway transport systems and deep sea port, inland port and rail connected storage facilities, along with transport, handling and warehousing facilities in the United Kingdom, Ireland and Belgium. The company has its operational head office in Warrington, Cheshire.

Eddie Stobart Logistics plc
TypePublic limited company
LSE: ESL
IndustryIntegrated Transport Logistics
Foundedcirca 1940s
(as Eddie Stobart)
23 November 1970
(as Eddie Stobart Ltd.)
FounderEddie Stobart
HeadquartersWarrington, Cheshire, England
Area served
Belgium, Ireland, United Kingdom
Key people
Philip Swatman
(Chairman)
William Stobart
(Chief Executive Officer)
Revenue£843.1 million (2018)[1]
£29.2 million (2018)[1]
£16.2 million (2018)[1]
Number of employees
6,100 (2018)[1]
Divisions
  • Eddie Stobart
  • Stobart Rail Freight
  • Stobart Ports
  • iForce
  • Speedy Freight
  • The Logistics People
  • The Pallet Network
Subsidiaries
Stobart Transport & Distribution Ltd
Eddie Stobart Group Ltd
Eddie Stobart Ltd
James Irlam & Sons Ltd
Stobart (Ireland) Ltd
Eddie Stobart Belgium NV
Stobart Rail Freight Ltd
Websitewww.eddiestobart.com

Started by Eddie Stobart in the end of the 1940s as an agricultural business in Cumbria, the company was incorporated as Eddie Stobart Ltd. on 23 November 1970 as a haulage firm, eventually passing to his son, Edward Stobart. Following corporate restructurings in 2004 and 2007, the Stobart company has developed from a haulage company to an logistics company, obtaining a stock market listing without an IPO through a reverse takeover of the property and ports company the Westbury Property Fund, while retaining Stobart family members William Stobart (Edward's brother) and his brother in-law Andrew Tinkler in the management roles of COO and CEO of the Stobart Group respectively, which subsequently diversified into other sectors. Following the retirement of Edward in 2003, the Stobart family was represented in the business by Edward's brother William Stobart, until 2017, when he stepped down as Executive Chairman.

In 2014, the logistics part of the company regained majority private ownership when Douglas Bay Capital bought a 51% share in the business from the Stobart Group, which remains publicly traded. The company regained a public listing in April 2017, when its shares were floated on the Alternative Investment Market of the London Stock Exchange, reducing the Stobart Group's stake to 12.5%.

History
A Subaru Impreza with Stobart advertising

The business was started by Eddie Stobart in the late 1940s as an agricultural business in Cumbria. His son, Edward Stobart Junior, started working for his father's contracting business delivering agricultural material in the region. The first truck bought by Eddie Stobart in 1960 was painted post-office red and Brunswick green with yellow lettering. These colours were used for subsequent vehicles up to 1969. The company was incorporated as Eddie Stobart Ltd. on 23 November 1970 as a haulage firm, and Eddie Stobart controlled the organisation fully until 1973, when, at the age of 19, Edward Stobart took the place of CEO. In 1976, Eddie retired and Edward took full control of the road haulage business and the name Eddie Stobart Ltd in 1976, becoming Chairman.[2]

By 1985 Edward Stobart owned 26 vehicles.[3] The business was characterised by its Tautliner bodies. As part of a policy to maintain brand image, in the 1980s, the company had a policy that all drivers must wave back and honk their horn in the traditional truck-driver fashion when signalled by a passer-by or "Eddie spotter" to do so.[4]

On 1 April 1987, the company opened its first depot in the English Midlands (at Burnaston).[5]

By 2002 the company was experiencing financial difficulties caused by the fuel crisis. In 2001 the haulage business had posted its first loss,[6] with the fan club making more money than the haulage business.[6]

On 15 October 2003 it was announced that Eddie Stobart was to be sold to WA Developments, a civil engineering company that specialised in railway maintenance, based in Appleby-in-Westmorland, Cumbria. At the time, Eddie Stobart was 55% owned by Edward Stobart and 45% owned by his brother William. WA Developments was 27% owned by William and 73% owned by William's school friend, brother-in-law and business partner Andrew Tinkler. In effect, therefore, William Stobart's stake in Eddie Stobart reduced from 45% to 27%.[7]

After a series of takeovers, the Stobart company developed from a haulage company to a logistics company known as the Stobart Group, obtaining a stock market listing without an IPO through a reverse takeover of the property and ports company the Westbury Property Fund in 2007.[8][9]

On 10 March 2008 the company announced the acquisition of James Irlam & Sons Ltd, one of the largest independently owned road transport logistics providers in the UK for £59.9 million.[10]

On 1 April 2008 the company started its first dedicated operations in Ireland, Stobart Ireland, based in Dublin, following the acquisition of TDG's Irish trailer operations.[11]

On 14 September 2009, MP David Taylor officially opened Stobart's Nestlé distribution centre in Bardon, Coalville, Leicestershire, after a £7 million refurbishment. The new site previously owned by Innovate Logistics.[12] In July 2008 it was announced that the group had taken over the chilled and ambient goods distribution operations from the administrators of Innovate Logistics Limited, saving the jobs of around 1,300 Innovate employees.[13]

The company completed the acquisition of Autologic, car-transporter firm, in August 2012.[14]

In March 2014, Stobart Group announced its intention to re-position itself as an support services business, with the announcement of the sale of its original transport and distribution business to Dbay Advisors Limited (formerly Douglas Bay Capital) for £280.8 million: Dbay Advisors secured a 49% stake in the new Eddie Stobart Logistics business. William Stobart left his position as Chief Operating Officer the Stobart Group to become Chief Executive Officer of Eddie Stobart Logistics.[15] However, Stobart Group retained the rights to the brand Eddie Stobart, licensing it out to Eddie Stobart Logistics.[16]

In April 2017, Eddie Stobart Logistics regained a public listing when it floated on the Alternative Investment Market of the London Stock Exchange, with a £572 million valuation.[17]

Eddie Stobart Logistics subsequently acquired stakes in iForce (April 2017),[18] Speedy Freight (July 2017),[19] The Logistics People (August 2017)[20] and The Pallet Network (June 2018).[21]

In August 2019, it was announced that Eddie Stobart Logistics plc chief executive Alex Laffey would step down with immediate effect amid the ongoing accounting probe. He was replaced by Sebastien Desreumaux, the chief executive of subsidiary iForce and head of contract logistics at the group.[22][23][24][25]

In September 2019, the company said that it had received buyout interest from Dbay Advisors.[26][27][28]

In October 2019, Wincanton plc expressed an interest in merging with Eddie Stobart.[29] Wincanton, later withdrew its offer, saying that it had “yet to receive full disclosure of the information requested to enable it to complete its due diligence exercise”.[30]

In November 2019, former Eddie Stobart boss Andrew Tinkler tabled a rival rescue proposal.[31][32] DBay increased its holding in Eddie Stobart Logistics from 10% to 27% on 29 November 2019 after it bought Woodford Asset Management's stake in an off-market deal at just 6p a share. It was reported that Woodford Asset Management made a £56 million loss on the sale.[33]

In December 2019, DBay Advisors provided financial support in the form of a £55 million loan bearing interest at 18%; it also increased its shareholding to 51%.[34][35] It was also announced that William Stobart was rejoining the business.[36][37]

On 21 May 2020, Eddie Stobart Logistics announced that it was acquiring the intellectual property rights to the "Eddie Stobart" and "Stobart" brand names for £10 million from Stobart Group to increase its brand awareness. The deal also included the merchandise business and the Stobart Members Club.[16]

Headquarters

The company relocated their headquarters further down the M6 motorway to the Stretton Green Distribution Park, Warrington.[38]

Financial performance

Figures below show the recent results for Eddie Stobart Logistics; the financial year runs to the last day of November each year:

Period ended Turnover (£m) Profit before tax (£m) Adjusted earnings per share diluted (p)
30 November 2018 843.1 23.6 11.4
30 November 2017 623.9 9.9 9.8
30 November 2016 570.2 11.2 7.9

Current operations

Eddie Stobart

The largest part of Eddie Stobart Logistics is the original Eddie Stobart road haulage business with 2,700 vehicles.[39]

General road haulage

Eddie Stobart Logistics uses a "pay per mile" system to charge clients, as opposed to a fixed payment system. In May 2007 Eddie Stobart was the subject of controversy when it reportedly offered bonuses to its Carlisle-based drivers to work in Livingston in Scotland, to transport goods for Tesco who were in dispute with their distribution centre drivers and facing disruption to their supply chain. The Stobart drivers refused to cross the Livingston picket line.[40]

Fuel

The Eddie Stobart fleet includes a number of Volvo FM dual fuel trucks, running primarily on liquid natural gas, with diesel as a backup.[41]

Vehicle naming
"Karen Elizabeth" Mercedes-Benz Actros truck in 2013

Eddie Stobart has a long tradition of giving its trucks female names. The first four owned by Eddie Stobart were named after model "Twiggy" and singers "Tammy" (Wynette), "Dolly" (Parton) and "Suzi" (Quatro).The practice has been expanded to cover other Stobart vehicles, including their sponsored sports cars and the Stobart Rail locomotive "Eddie the Engine".[42]

With the expansion of the fleet, names have become harder to choose, and the fleet now features "Tuula Karina" (Finnish), "Angharrad" (Welsh), "Anstice" and "Saoirse Erin" (Irish, meaning 'Free Ireland'). Currently the vehicles with the shortest and longest names are "Nia" and "Gladys Duchess of Overton", both on Scania R 420s.[43]

There are some exceptions to the female naming convention (including Eddie the Engine). In 2005, in celebration of twenty years of Transformers, Stobart named a MAN tractor "Optimus Prime" and recently during the filming of a television series entitled Eddie Stobart: Trucks & Trailers a Volvo FH12 was christened "Valentino" after Valentino Rossi, the legendary Italian motorcycle racer, which caused a furore among spotters.[44]

The company has a static Volvo FH in the "Glasshouse" at their Crick depot which is named in honour of fusilier "Lee Rigby".[45]

Paint job history
Eddie Stobart truck in the previous green, gold and dark red livery in 2009

The first truck bought by Eddie Stobart in 1960 was painted post office red and Brunswick Green, with yellow lettering.[46] With subsequent vehicles the dark red was changed to a regular red, and the dark green was changed to a mixture of dark and bright green. The white remained the same.[47]

Stobart Rail Freight
Main article: Stobart Rail Freight

Eddie Stobart Logisics operates some rail based services, both for freight as the Stobart Rail service, and (formerly) for passengers. For rail freight transport, the group owns warehousing at the rail connected Daventry International Railfreight Terminal (DIRFT), and owns the rail connected Widnes Intermodal Rail Depot.[48]

Stobart Ports

O'Connor Group Management Ltd (trading as Stobart Ports) is the ports division of the Stobart Group. It owns a site in Widnes, Cheshire.[49]

Widnes inland port and industrial park

Stobart has a lease on its industrial and office headquarters complex in Widnes.[50]

Former operations

Rail tours
Further information: Stobart Pullman and Victa Westlink Rail

The Stobart Group briefly entered the passenger railtour market, through the Stobart Pullman, which was a re-branding of the Hertfordshire Rail Tours business inherited from Victa Westlink Rail, a joint venture between its Westlink subsidiary and Victa Railfreight. Traction was provided by Direct Rail Services using Stobart branded carriages. It was launched in February 2008 but as of July 2008 the operation was suspended, presumed closed.[51]

Brand promotion

Eddie Stobart Promotions Ltd have various Brand Promotion services, such as the Stobart Members Club, Stobart Fest, Stobart Sponsorship and Stobart Motorsport. In 2005, 2007, 2008, 2009, 2010, 2011, 2012, 2013, 2014, 2015 and 2016 Eddie Stobart was recognised as a UK Superbrand by Superbrands Ltd.[52]

Stobart Members Club

The tradition of naming Eddie Stobart lorry cabins with female names, combined with a very distinctive livery, has led members of the general public to "collect" sightings of Stobart lorries. This has occurred to the extent that a fan club was formed, eventually supported by the company which arranges depot tours and lorry rides, and sells model lorries etc.[53]

Sponsorship

Since the takeover of Eddie Stobart by WA Developments in 2004 and its subsequent listing on the London Stock Exchange in 2007, Stobart has taken to a high-profile sponsorship programme, including:

Channel 5 and Princess Productions released a program dedicated to the Stobart group, Eddie Stobart: Trucks & Trailers, which first aired on 24 September 2010.[57]

The Stobart Group was featured on Top Gear in 1995, when presenter Tony Mason visited the company's Carlisle headquarters. Another appearance was made on Top Gear during the Reliant Robin rocket challenge. The Reliant was transported to the launch site on a flatbed Stobart truck to Richard Hammond and James May.[58]

A one-off TV show was produced for ITV4 called Eddie Stobart - Smart Truckers. Narrated by Paddy McGuinness, the show included the boss William Stobart doing deliveries to distribution centres and the firm's race horses.[59]

A CD was produced called Eddie Stobart Trucking Songs. The CD features all the truckers' favourite rock songs and artists including Queen, Fleetwood Mac and Motorhead.[60]

The Somerset based Scrumpy and Western band The Wurzels recorded a new song, "I wanna be an Eddie Stobart Driver".[61]

The company's trucks feature in Euro Truck Simulator 2 (a game by SCS Software). The Stobart Rail group also features in the game as a skin on the Scania R-series only.[62]

In 2001, an animated series called Steady Eddie was released on home video by Contender Entertainment Group. It was based on the books by Linda Jennings. The series features characters such as Steady Eddie, the protagonist, Oliver Overdrive, Steady Eddie's arch-rival, Jock the Tanker and Lorretta Lorry, Steady Eddie's friends, and Freddie Forklift, a forklift who works in the yard making deliveries to Steady Eddie.[63]

  • Stobart truck Sandra Ann in the latest livery.
  • A Stobart train.
  • Stobart Scania G 380 truck.

See also

References
  1. "Annual Report 2018" (PDF). Eddie Stobart Logistics. Retrieved 23 August 2019.
  2. "Edward Stobart died bankrupt, court documents show". BBC. 26 May 2011. Retrieved 14 April 2019.
  3. "Edward Stobart". The Economist. 7 April 2012. Retrieved 3 September 2012.
  4. Roach, Martin (2012). Eddie Stobart: The Ultimate Guide to the British Trucking Legends. Virgin Books. ISBN 978-0753540909.
  5. Davies, Hunter (2001). The Eddie Stobart Story. London: HarperCollinsEntertainment. ISBN 0-00-711597-0.
  6. "Where next for 'Steady Eddie' Stobart?". BBC News. 6 September 2006.
  7. "Eddie Stobart sells up". BBC. 15 October 2003. Retrieved 1 June 2017.
  8. "Eddie Stobart reverses on to stock market". The Guardian. 16 August 2007. Retrieved 1 June 2017.
  9. "Eddie Stobart merges with Westbury and goes public". Commercialmotor.com. 15 August 2007.
  10. Irlam brothers sell to rival Eddie Stobart The Telegraph, 14 March 2008
  11. Eddie Stobart arrives in Ireland Archived 25 April 2009 at the Wayback Machine HGV Ireland, 5 April 2008
  12. MP opens £7m Nestle hub This is Business East Midlands, 15 September 2009
  13. Stobart deal saves 1300 jobs at Innovate Logistics Yorkshire Post, 1 July 2008
  14. "Stobart Group in for Autologic with £12.4m cash offer". Motor Transport. 19 June 2012. Retrieved 4 April 2018.
  15. "Stobart family gets back behind the wheel of famous lorry company". The Guardian. 6 March 2014. Retrieved 1 June 2017.
  16. "Eddie Stobart lorry company buys its own name". The Telegraph. 21 May 2020. Retrieved 10 June 2020.
  17. "Eddie Stobart Logistics lists on AIM with a £572m valuation". City AM. 25 April 2017. Retrieved 4 April 2018.
  18. "Eddie Stobart to buy iForce". JLC Solutions. 23 April 2017. Retrieved 14 April 2019.
  19. "Eddie Stobart acquires stake in Speedy Freight". Inside Media. 13 July 2017. Retrieved 14 April 2019.
  20. "Eddie Stobart takes control of The Logistics People". Apex Insight. 31 August 2017. Retrieved 14 April 2019.
  21. "Eddie Stobart buys The Pallet Network". Post & Parcel. 28 June 2018. Retrieved 14 April 2019.
  22. News, Alliance (23 August 2019). "PRESS: Eddie Stobart Logistics CEO To Depart As Shares Face Suspension". MorningstarUK.
  23. "Eddie Stobart's CEO, Laffey, to step down - Sky News". 22 August 2019 – via uk.reuters.com.
  24. "Eddie Stobart chief leaves as shares suspended". 23 August 2019 – via www.bbc.co.uk.
  25. "Eddie Stobart suspends trading in its shares after accounting error".
  26. "Eddie Stobart says it has received buyout interest from Dbay Advisors".
  27. "Eddie Stobart gets takeover interest from investor DBAY Advisors".
  28. "Eddie Stobart gets early buyout interest from investor DBAY Advisors".
  29. "Wincanton pursues possible merger with Eddie Stobart". City AM. 18 October 2019. Retrieved 11 November 2019.
  30. "Wincanton withdraws Eddie Stobart interest". Logistics Manager. 25 November 2019. Retrieved 25 November 2019.
  31. "Andrew Tinkler makes dramatic return in battle for control of Eddie Stobart". Retrieved 25 November 2019.
  32. "Andrew Tinkler: 'How I can save trouble Eddie Stobart Logistics'".
  33. "Woodford funds take £56m hit as Eddie Stobart stake offloaded". Funds Insider. 2 December 2019. Retrieved 2 December 2019.
  34. "Eddie Stobart saved from collapse after crunch vote". BBC News. 6 December 2019. Retrieved 7 December 2019.
  35. "Eddie Stobart wins reprieve as ex-owners bail out trucking firm". The Guardian. 6 December 2019. Retrieved 6 December 2019.
  36. "william-stobart-to-take-key-role-at-eddie-stobart-logistics". Motor Transport. 19 November 2019. Retrieved 1 January 2020.
  37. "Founder's son to take "day-to-day management responsibility" of Eddie Stobart as chief executive departure announced". News and Star. 18 November 2019. Retrieved 1 January 2020.
  38. "Eddie Stobart to create 730 new jobs with HQ expansion". Manchester Evening News. 26 June 2018. Retrieved 24 August 2019.
  39. "Eddie Stobart chief leaves as shares suspended". BBC. 23 August 2019.
  40. "Socialist Worker report". Socialistworker.co.uk. Retrieved 2 December 2011.
  41. ""Eddie Stobart: Trucks and Trailers - Series 2 Episode 5" at". Roadtransport.com. Archived from the original on 13 September 2011. Retrieved 2 December 2011.
  42. "Eddie the Engine". BBC. Retrieved 1 June 2017.
  43. "Gladys Duchess of Overton". Retrieved 1 June 2017.
  44. "Eddie Stobart names truck after murdered soldier Lee Rigby". Halifax Courier. 24 March 2015. Retrieved 6 October 2018.
  45. "'Rare honour' as murdered soldier Lee Rigby has an Eddie Stobart lorry named after him". Manchester Evening News. 31 March 2015. Retrieved 1 June 2017.
  46. Roach, Martin (2012). Eddie Stobart: The Ultimate Guide to the British Trucking Legends. Virgin. ISBN 978-0753540909.
  47. "Row of parked Eddie Stobart trucks trailers & containers at Lorry Halt Row of Livery AEC Scania 440 haulage vehicles". Retrieved 4 April 2018.
  48. "Eddie Stobart plan could create 10,000 jobs". Liverpool Echo. 8 May 2013. Retrieved 4 April 2018.
  49. "Luxury temporary headquarters for Stobart Ports". Construction Index. Retrieved 4 April 2018.
  50. "REIT picks up Stobart Widnes site". Place Northwest. 25 June 2018. Retrieved 11 March 2020.
  51. "Scot-rail charter trains 2008". Scot-rail.co.uk. Retrieved 18 February 2010.
  52. "Superbrands video". Retrieved 1 June 2017.
  53. "Ladies can jump the Stobart Club queue". Doncaster Free Press. 14 December 2013. Retrieved 1 June 2017.
  54. "Stobart Group maps out road to success for Vikings". Halton Borough Council. Retrieved 7 December 2007.
  55. "Manor House Stables sponsored by Stobart Group". Manor House Stables LLP. Archived from the original on 27 March 2010. Retrieved 3 March 2010.
  56. "RFL confirm Stobart as new Super League sponsor". Wakefield Express. 25 January 2012. Retrieved 19 February 2012.
  57. "Eddie Stobart Back on Screens For Series Three | General | News Releases | Media | Stobart Group". Archived from the original on 31 March 2012. Retrieved 28 July 2016.
  58. "Eddie Stobart Ltd Haulage Company - Old Top Gear". Retrieved 1 June 2017.
  59. "Eddie Stobart - Smart Truckers". Retrieved 1 June 2017.
  60. "Eddie Stobart Trucking Songs". All music. Retrieved 1 June 2017.
  61. "I wanna be an Eddie Stobart Driver". Picture Disc. Retrieved 1 June 2017.
  62. "Euro Truck Simulator 2". Steam Spy. Retrieved 10 December 2016.
  63. "Steady Eddie is ready to beat Bob". The Guardian. 19 September 2001. Retrieved 1 June 2017.

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