Jobs secured at Stagecoach after bus company signs new takeover deal
A merger bid from National Express has since been scrapped
Bus company Stagecoach is to be taken over by an infrastructure firm in a deal worth £595 million.
The business elected to opt for a full takeover from investors DWS Infrastructure, instead of a planned merger deal with National Express, which had valued the transport group at £437 million.
Despite being agreed in December, the potential merge between National Express and Stagecoach had been under investigation by the Competition and Markets Authority, which stopped the deal going through.
Following the offer, Stagecoach accepted the acquisition by DWS Infrastructure, saying that jobs would be secured, including the current bosses of the company.
DWS Infrastructure is already involved in a number of large-scale investments in the UK and abroad, including Yorkshire Water owner Kelda and Peel Ports.
Speaking about the takeover, head of infrastructure at DWS, Hamish Mackenzie, said it would commit to the continuity of Stagecoach services.
"As a long-term investor in essential services with a strong track record in the UK and European transport sectors, DWS Infrastructure will back Stagecoach to rapidly capitalise on the growth opportunities presented by increased public and private investment in UK bus and coach," he said.
Similarly, chief executive of Stagecoach, Martin Griffiths said that the company changed deals to optimise the services they provide.
"The proposed offer presents a major opportunity to maximise the significant growth potential ahead as governments seek to deliver economic recovery, level up communities, provide better health outcomes for citizens, and transition to a net-zero future.
"We believe it will open a new and exciting chapter for Stagecoach, backed by a team who share our vision for a more sustainable future."