Report: PickPoint to end work in Russia amid financial problems

MOSCOW, Apr 5 (PRIME) -- Large delivery company PickPoint has decided to terminate its operations in Russia over financial problems, business daily Kommersant reported on its website late on Tuesday.

PickPoint has notified its partners of the end of its work, two sources on the logistics market told the daily. In a letter to partners, PickPoint General Director Nadezhda Romanova said that the move was provoked by financial difficulties.

The service’s turnover decreased after the retreat of Western retailers that accounted for the bulk of its client portfolio and the inability of financing from the part of its Western investors, Romanova said in the letter.

PickPoint stopped accepting new parcels on Tuesday from legal entities and individuals. All undelivered and unclaimed goods will be returned to PickPoint clients from Thursday till April 30, according to the letter.

The company faced problems with clients and counteragents at the end of 2022, and lawsuits for more than 433 million rubles have been filed against PickPoint since the beginning of 2023, while a total amount of all lawsuits that are being considered reaches almost 730 million rubles, the daily said.

PickPoint runs 6,000 lockers and 4,500 collection points in 657 cities in the country. The company’s final beneficiaries are unknown, but according to SPARK-Interfax, the company belongs to Cyprus-domiciled firm PickPoint Delivery System Ltd.

(79.3563 rubles – U.S. $1)

End