Wed, 10 Apr 2013 | BUSINESS SALE
FirstGroup has sold off a total of eight bus depots as part of its efforts to generate £100 million in disposals.
All of the depots were based in London and were sold to two different bus operating companies. London firm Metroline is set to buy the depots in Uxbridge, Aplerton, Greenford, Hayes and Willesden Junction for £57.5 million. FirstGroup's 1,700 staff and 494 vehicles linked to the depots will be transferred across.
Transit Systems Group, an Australian firm, is set to purchase the sites at Lea Interchange, Westbourne Park and Atlas Road, along with their 400 vehicles and 1,500 staff for £21.3 million.
Managing director of First's UK bus operations, Giles Fearnley, commented: “The sale of these operations marks further progress in our programme to reposition our UK Bus portfolio, recover performance and equip the business to achieve sustainable revenue and patronage growth.”
He added that the decision to sell is a “business driven one” and is not a reflection on the performance and commitment of individual employees in the company. The company is set to focus its attention on other areas that offer greater potential for growth; given the crowded London market and over-arching control of Transport for London, the capital does not appear to be one of the best areas for FirstGroup.
Shares in the company were up on the news that the firm had organised a sale for its depots. However, analysts have suggested that there is still a long way to go before First manages to fully turn its fortunes around. Trading in the last quarter of 2012 showed an increase of 2.4 per cent in the firm's revenues for its UK bus business.
____________________________________________________________________________
Related articles:
How to turn around a struggling business
FirstGroup to raise £100 million through disposals
An established, award-winning care home with nursing, that is located in a popular East Midlands town and has come to market for the first time so that our client can retire.
For sale a lucrative portfolio of residential care homes conveniently clustered in the Northwest of England, offering residential and dementia care.
A profitable care home with nursing located in an East Midlands town. Well-presented and extended accommodation with 57% of the ground floor bedrooms being ensuite.
03
|
May
|
Three Aberdeen legal firms merge to form all-service provider | MERGER
Three prominent Aberdeen legal businesses have merged to for...
03
|
May
|
BGF-backed asbestos services firm makes third acquisition | BUSINESS SALE
Environmental Essentials, a specialist asbestos services fir...
03
|
May
|
Logistics firm acquires pair of Derbyshire businesses | BUSINESS SALE
A logistics firm headquartered in Preston has acquired a pai...
29
|
Jan
|
FirstGroup acquires York Pullman Bus Company | BUSINESS SALE
Aberdeen-based transport firm FirstGroup has acquired York P...
24
|
May
|
FirstGroup to sell off poor performing operations | DIVISION SALE
FirstGroup has decided to sell off another chunk of its unde...
03
|
May
|
Stagecoach purchase of FirstGroup comes under spotlight | BUSINESS SALE
The proposed purchase by Perth-based Stagecoach of its rival...
Business Sale Report is your complete solution to finding great acquisition opportunities.
Join today to receive:
All this and much more, including the latest M&A news and exclusive resources
Please choose your settings for this site below. For more information please read our Cookie Policy
These cookies are necessary for our website to function properly and provide you with access to all features.
These are analytics cookies that help us to improve the way our website works.
These are used to improve the functional performance of the website and make it easier for you to use.