Connect Group, parent company of Smiths News, has shut down its Pass My Parcel service which is associated with 3,500 retailers.

Launched in 2014, Pass My Parcel has provided collection and return services to clients such as Amazon, ASOS, H&M and Disney.

In a trading statement released yesterday, the Connect Group said that overall performance since its interim results on 1 May 2018 has been extremely disappointing, and the company has materially reduced its expectations for full year profit before tax.

Mark Cashmore, Group Chief Executive will be stepping down from his position. An external search for a replacement is underway. Mark will remain with the business for sufficient time to ensure an orderly transition to new leadership. 

David Bauernfeind, Chief Financial Officer, will leave the business with immediate effect.

Tony Grace will join the Group as interim CFO from Monday 18 June. Tony brings strong and relevant experience, most recently as CFO at Yodel, and previously in senior roles at Virgin Media and Telewest.

Connect Group told the stock market: “After a careful review of the prospects for Pass My Parcel, the group has decided to close the proposition and wind down its associated network of local retailers. 

“We are currently in discussion with key clients to effect as orderly a withdrawal as possible. In the meantime we are working to ensure costs can be removed in line with the profile of the closure of operations.”

The NFRN said: “We are working with Pass My Parcel to ensure that an orderly withdrawal takes place and that all payments due to you are paid in the usual timescales.

“A store communication is being prepared and will be advised shortly.”