Bus firm Go-Ahead announces £5m deal to buy rival's operation

Sep 2 2009 by Andrew Mernin, The Journal

TRANSPORT group Go-Ahead yesterday announced a £5m agreement to buy rival Arriva's bus operation based in Horsham, West Sussex.

The Newcastle company said the deal with Sunderland-based Arriva, which includes a fleet of 19 vehicles and a 58-strong workforce, is expected to be completed by the beginning of October.

The newly-acquired assets will operate under Go-Ahead’s Metrobus brand which provides services in Sussex, Surrey and Kent.

Go-Ahead’s group chief executive Keith Ludeman said: “The acquisition provides Go-Ahead with another opportunity to further develop Metrobus’ high quality service offer and benefits to passengers.”

The North East firm currently operates a fleet of over 3,400 buses, carrying an average of around 1.6 million passengers every day.

As well as its growing bus operation, Go-Ahead is the country’s busiest rail operator and also runs an aviation division offering cargo and ground-handling services.

In July, the company completed the £5m acquisition of London bus company East Thames Buses from Transport for London. The £24m-a-year business became the sixth bus business the group runs in the capital.

Earlier this year, the company won the right to continue running the South Central rail franchise which operates trains in London and the South Coast.