Johnsons selling bus business to Rotala
Henley-in-Arden-based Johnsons Coaches’ Excelbus bus services are to be taken over by Rotala-owned Diamond Bus.
The deal will see the 20-strong fleet join Rotala for a cash consideration of £936,000. According to a release from Rotala posted on the London Stock Exchange, the acquisition is expected to be earnings enhancing from completion. Rotala estimates that the assets being acquired have annual revenues of approximately £3.5 million, generating EBITDA of approximately £200,000 per annum for the Rotala Group.
The Excelbus-branded fleet are to be subsumed into the Diamond Bus business operating out of its existing Redditch depot and the buses will be rebranded into Diamond Bus livery. Approximately 60 employees are expected to transfer to Diamond Bus with the business. The acquisition will extend the Group’s network of bus services in Warwickshire and the West Midlands and make more efficient use of the capacity of the Company’s Redditch depot.
Completion of the Acquisition is expected to occur on 29 May 2022.
The deal only applies to Johnsons’ bus business. The company’s holidays, excursions, private hire and school service operations are not part of this agreement.
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