FirstGroup Enters London Bus Market with RATP Acquisition

Firstgroup ( (GB:FGP) ) has shared an update.

FirstGroup plc has completed the acquisition of RATP Dev Transit London Limited, marking its entry into the London bus market with a significant presence. This acquisition aligns with FirstGroup’s strategy to diversify and grow its revenue base, as RATP London holds a 12% market share in London and operates 83 Transport for London route contracts. The acquisition is expected to enhance FirstGroup’s market position and financial performance, with anticipated annual revenues of £300-350 million and operating margins of 6-7%.

More about Firstgroup

FirstGroup plc is a leading private sector provider of public transport services in the UK, generating £4.7 billion in revenue and employing around 30,000 people. The company operates one of the largest regional bus services in the UK, serving over 20% of the population with a fleet of approximately 4,800 buses. It also runs one of the UK’s largest rail operations, managing long-distance, commuter, regional, and sleeper rail services, and is committed to achieving a zero-emission bus fleet by 2035.

YTD Price Performance: -0.68%

Average Trading Volume: 1,072,751

Technical Sentiment Consensus Rating: Strong Sell

Current Market Cap: £925.4M

For detailed information about FGP stock, go to TipRanks’ Stock Analysis page.