Sendle halts operations amid concerns over merger partners
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The news: Parcel delivery service Sendle has told customers that it has halted operations, just months after merging with US-based FirstMile and ACI Logistix.
The context: In a statement on the company's website, and in automated email replies to customers, Sendle said it "will be halting all bookings for parcel pickup and delivery."
The company has advised customers to "contact the relevant deliver partner" about existing orders and said any existing bookings scheduled for pickup on 12 January or later will be cancelled.
Sendle said in a statement that it has informed its customers that it is no longer taking any future bookings.
"We are not able to provide any further comment at this time," it said.
In August last year, Sendle merged with FirstMile and ACI Logistix to become part of a parent company called FAST Group, which has operations in the US, Australia, Canada, India and the Philippines.
Sendle is backed by investors including Federation Asset Management, Touch Ventures, Rampersand and King River Capital, raising over $100 million in funding rounds since 2019.
However, Sydney-based Federation Asset Management reportedly froze redemptions in its $100 million Federation Alternatives Investment Fund II — with around $64 million invested in FAST Group — last month.
Federation Asset Management has been looking at capital options for FAST Group, following concerns over disclosures provided by ACI Logistix during the merger's due diligence process, according to reports.
The source: Sendle statement
