United Kingdom

Details

  • Industry: Transport
  • Type: Press release
  • Date: 09/04/2013

KPMG advises First Group on £80million sale of two London bus depots 

  • Deal is a “significant milestone” for First Group and brings a new entrant to the London bus market, says KPMG

 

 

KPMG in the UK acted as lead corporate finance advisor to First Group plc on its sale of eight London bus depots in two transactions worth a total of £80 million which were announced today.

 

Five depots (with 494 vehicles and approximately 1,700 employees) will be sold to London bus operator Metroline which is owned by Comfort DelGro Corporation Limited, a Singapore-incorporated transportation company. The remaining three will be acquired by a new entrant to the London bus market, Australian transport operator Transit Systems Group, which will take over approximately 400 buses and 1,500 staff.

 

Commenting, Tim O'Toole, Chief Executive of FirstGroup said: "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 growth.  Our strategy is to focus on those areas which offer us the greatest potential and, while we have been a key operator in London for many years, these sales allow us to focus our time and resources on the deregulated market outside of the capital."

 

Dr Ashley Steel, Global Chair for Transport at KPMG, said: “These transactions are a significant milestone in First Group’s UK bus transport strategy.  They also confirm that London and its public transport market continues to be attractive to overseas investors, and bring a new entrant, Transit Systems Group, to the London market.”

 

ENDS

 

 

For further information please contact

 

Bona Boraliu – 020 76941482

bona.boraliu@kpmg.co.uk

 

Notes to editors:

 

About KPMG

 

KPMG LLP, a UK limited liability partnership, is a subsidiary of KPMG Europe LLP and operates from 22 offices across the UK with over 12,000 partners and staff.  The UK firm recorded a turnover of £1.8 billion in the year ended September 2012. KPMG is a global network of professional firms providing Audit, Tax, and Advisory services. We operate in 156 countries and have 152,000 professionals working in member firms around the world. The independent member firms of the KPMG network are affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity.  KPMG International provides no client services.

 

 

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