FirstGroup sells three major bus facilities in North America for £102m

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The BBC has reported that FirstGroup has sold off a number of Greyhound bus facilities in the USA and Canada for a total of £102m as part of its continuing drive to rationalise its Greyhound bus property portfolio. The sales include a depot and passenger terminal in Los Angeles, as well as facilities in Denver, Colorado, and Ottawa, Canada, with a reported profit for the three transactions of around £73m which will be used for what it called ‘general corporate purposes.’

FirstGroup told the broadcaster that it was moving operations to intermodal transport hubs or new facilities better tailored to customers’ needs.

The company had already sold six smaller locations which it said were surplus in the first half of the financial year and has a number of other sales processes ongoing as it seeks to pull out of North America and refocus on its UK bus and rail operations.

The Group has been trying to sell its Greyhound operations since 2019 and remains in discussions with at least one unnamed party with regard to a potential sale. The division has been hit hard by the coronavirus pandemic this year, with revenue falling in the six months to 30 September by more than half. Discussions are also still ongoing with potential buyers for its North American contract businesses First Transit and First Student.