Arriva takeover gets go-ahead from Brussels

[bnsf734]

Deutsche Bahn have approval from the EU to take over Arriva suject to them getting rid of the Arriva operations in Germany.

News here:

http://www.railwaygazette.com/news/single-view/view/10/ec-approves-dbs-takeover-of-arriva.html

From the Arriva press release:

"Welcoming the announcement, Arriva told the London Stock Exchange that Court hearings ‘to sanction the Scheme and confirm the associated reduction in capital’ would take place on August 24 and 26. Subject to the ‘satisfaction or waiver’ of any remaining conditions, the takeover will become effective on August 27."

Calv

 

[Welshman]

As Railway Eye's Fact Compiler astutely comments, it's good to see Cross Country and Arriva Trains Wales being renationalised - just a pity the profits will go to Berlin and not London or Cardiff.
It is odd to see a government whose policies rule out renationalisation allowing other countries to do it for them.

 

[DaveNewcastle]

From Dow Jones News Feed
Wednesday, 11/08/10, 15:50
FRANKFURT --German rail operator Deutsche Bahn AG said Wednesday it is to begin the sale of Arriva Germany immediately.

The sale is a key step in Deutsche Bahn's acquisition of U.K. public transport operator Arriva PLC (ARI.LN).

The European Commission Wednesday cleared Deutsche Bahn to buy Arriva, but the operator has to sell Arriva's entire German rail and bus business due to concerns that the deal would give Deutsche Bahn too much control over the German market, the commission said.

-----------------------------------------
and . .
Dow Jones News Feed
Wednesday, 11/08/10, 14:50

BRUSSELS --The European Commission Wednesday cleared German national railway company Deutsche Bahn AG to buy U.K. public transport operator Arriva PLC (ARI.LN).

Deutsche Bahn has agreed to sell Arriva's entire German rail and bus business as part of receiving EU approval because of concerns that the deal would give Deutsche Bahn too much control over the German market, the commission said.

"This decision shows that the commission is open for cross-border integration in the newly liberalized transport markets provided that such transactions do not in any way reduce competition, in particular in the home market of the acquirer," said EU antitrust commissioner Joaquin Almunia.

The GBP1.59 billion deal will create one of the largest transportation groups in Europe, with a combined annual passenger revenue of EUR16 billion.

The move comes as Deutsche Bahn looks to expand its operations across the continent and take advantage of the increasing liberalization of European public transport. The company anticipates that its share of the regional transport market in Germany will decline in coming years.

Arriva has more than 40,000 employees and transports 2.5 million passengers a day. It operates bus and rail services in the United Kingdom and 11 other countries.

 

[jopsuk]

I can understand the requirment for the merged company to sell the Arriva rail operations in Germany, but the bus operations? Is there already a bus division to DB (similar to keolis, owned by by SNCF)?

 

[gordonthemoron]

DBs headquarters are in Frankfurt not Berlin

DB already runs some local buses in germany, in addition to the BLX and Nuremberg-Prague coaches

 

[Railjet]

Will this make DB the leading rail operator (by revenue) in Britain?

DB Schenker (63% of rail freight market in 2009)
Cross-Country
Arriva Trains Wales
Chiltern
Wrexham & Shropshire

 

[jopsuk]

+50% of LOROL, don't forget.

On passenger-only, still think they'd lag behind Keolis, who are partners with Go-Head in Govia- they run London Midland, Southern and Southeastern plus partners with First in Transpenine Express.

Not forgetting that as well as SWT and EMT, Stagecoach own 49% of Virgin Trains.

 

[gordonthemoron]

DB also have Tyne & Wear Metro

 

[merlodlliw]

As Railway Eye's Fact Compiler astutely comments, it's good to see Cross Country and Arriva Trains Wales being renationalised - just a pity the profits will go to Berlin and not London or Cardiff.
It is odd to see a government whose policies rule out renationalisation allowing other countries to do it for them.

You mention Cardiff,why?

 

[TDK]

You mention Cardiff,why?

Because in some folks eyes Cardiff is the centre of the universe including ATW's

 

[imagination]

First Group have:
- First Capital Connect
- First Great Western
- First ScotRail
- First Hull Trains
- First Transpennine Express

They used to have GBRf too until a couple of months ago.