UK Bus Operators Plan Merger As Covid Hits Demand
Fahad Shabbir (@FahadShabbir) Published September 21, 2021 | 06:00 PM
London, Sept 21 (UrduPoint / Pakistan Point News - 21st Sep, 2021 ) :British bus operator National Express, whose operations stretch as far afield as North America, and rival Stagecoach announced merger plans Tuesday, with the pandemic-hit firms looking to slash costs.
Under a proposed all-share deal, National Express would own 75 percent of the new group and Stagecoach the remainder, the pair said in a statement.
"The boards of National Express and Stagecoach believe that the potential combination would be a strategically compelling proposition with significant growth and cost synergies, as well as delivering strong value creation for both sets of shareholders," it added.
National Express said it has identified pre-tax cost synergies of at least �35 million ($48 million, 41 million Euros).
National Express has bus and coach networks across the UK and runs services abroad, including school buses in North America.
It operates also a rail franchise in Germany, while UK-focused Stagecoach is one of Britain's largest bus and coach operators.
Susannah Streeter, senior investment and markets analyst at Hargreaves Lansdown, said "it comes as little surprise that rivals National Express and Stagecoach are... considering getting together to try and shoulder the recovery".
"The working-from-home revolution is still likely to be a drag on revenues going forward, with commuters likely to travel less in the future," she added.
Related Topics
Recent Stories
Currency Rate In Pakistan - Dollar, Euro, Pound, Riyal Rates On 29 March 2024
Today Gold Rate in Pakistan 29 March 2024
Journalists call for global action to end Gaza’s humanitarian crisis
CM for generating opportunities to bring direct int'l investment
Pakistan retains position in FTSE secondary emerging market
High Commissioner of Malaysia hosts Iftar dinner reception
NEPRA announces 2nd quarterly adjustment in power bills with Rs 1.68 cut per uni ..
Hoopo Inc. Collaborates with SAU to Install Solar-Powered RO Plant
04 killed in Spain as Storm Nelson looms
Russian military jet crashes into sea off Crimea: Governor
Rain-windstorm/thunderstorm likely at various parts of country
Implementation of Sindh Agriculture Workers Act-2019 demanded
More Stories From Miscellaneous
-
Shaheed Jalil Andrabi remembered on his martyrdom anniversary
2 days ago -
Architectural grandeur of Mohabat Khan Mosque attracts visitors, archeology lovers
2 days ago -
Besant Hall cultural centre to hold programme in memory Pir Hassam din Rashdi
4 days ago -
USA beats Mexico 2-0 for CONCACAF Nations League title
4 days ago -
World urged to intervene for peace in Kashmir
5 days ago -
Undeterred resolve – only way to end economic woes
5 days ago
-
Organic Food: A booming trend in Khyber Pakhtunkhwa
5 days ago -
From Soil to Harvest: Use of modern technology vital for agricultural renaissance
5 days ago -
Spring season offers glimpse into GB's natural beauty, cultural heritage
5 days ago -
Nation to mark decades’ long journey of resilience through annals of history
7 days ago -
23rd March: A historic day reminds Muslims’ heroic struggle for Pakistan
7 days ago -
Measures urged to recharge depleting water table: Experts
7 days ago