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Business & education services

Royal Mail parent agrees to sell US freight wing

International Distributions Services PLC (LSE:IDS) has announced the sale of its US freight wing to DC Logistics.

IDS’ parcel delivery firm GLS will sell the division to the California-based firm for an undisclosed fee, with the deal expected to close in early September.

This comes as the Royal Mail owner looks to reset sister company GLS’ focus on its core parcel service after IDS agreed to a £3.57 billion takeover by Czech billionaire Daniel Kretinsky.

“The transaction is consistent with GLS US' strategy to focus on its core parcel offering as the business seeks to reinforce its position as the preferred parcel delivery provider for US customers,” IDS said on Monday.

Shares climbed 0.2% to 338.20p following the news.

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