19 March 2012
The Go-Ahead Group plc is pleased to announce the acquisition of First London East's Northumberland Park bus depot in Tottenham, north east London for a gross cash consideration of £14.0m. The transaction will be completed on 30 March 2012.
The acquisition increases Go-Ahead's share of the London bus market from 22% to 23%.
The business has around 400 employees and a fleet of 130 buses. It operates 13 Transport for London contracts including route 67 from Wood Green to Aldgate, route 476 Euston to Northumberland Park and a number of school contracts. The annual turnover of the business is around £24.5m.
Northumberland Park will complement Go-Ahead's existing Docklands Buses and Blue Triangle operations based in Silvertown and Rainham respectively.
David Brown, Group Chief Executive for Go-Ahead said: "We have great confidence in the London bus market and our management team in London and this acquisition provides the opportunity to operate in a new area of the capital. Northumberland Park is located near both Tottenham Hale and White Hart Lane, where regeneration is either planned or already underway.
"We look forward to working with the Northumberland Park team to build on their success to date and to continue to deliver a good service to passengers in this area of London on behalf of Transport for London."
Northumberland Park will become part of Go-Ahead London, under the leadership of Managing Director John Trayner.
For further information, please contact:
|The Go-Ahead Group
|Holly Birch, Group Investor Relations Manager
||0783 761 2661, www.go-ahead.com
Go-Ahead is one of the UK’s largest bus operators. With a fleet of around 3,900 buses, we carry, on average, around 1.7 million passengers every day. Our operations are focused on high density commuter markets. We have a strong presence in London, with around 22% market share, where we provide regulated services for TfL. We operate deregulated services in Oxford, East Anglia, the South East, Southern and North East England. We also have a yellow school bus joint venture in North America.
Our rail division operates the Southern (including Gatwick Express), South eastern and London Midland franchises through our 65% owned subsidiary Govia. It is the busiest rail operation in the UK, responsible for nearly 30% of all UK passenger rail journeys. In December 2009, South eastern began operating the UK's first high speed domestic rail service between Kent and London, significantly reducing journey times.