FirstGroup PLC (LON:FGP.L) is considering all its options to boost its value, the bus and rail operator’s boss said on Tuesday, with the firm having earlier this year rejected two bids from Apollo Global Management.
in a brief statement ahead of its annual general meeting, to be held later today, chairman Wolfhart Hause repeated that: “The Board is examining all appropriate means to mobilise the considerable value inherent in the Group, and to deliver shareholder value in a sustainable way while enhancing the services we provide to our customers and communities.”
READ: FirstGroup drops as it replaces its chief executive after profits fall; puts Greyhound bus unit under review
Hause – who stepped up to an executive role following the departure of CEO Tim O’Toole at the end of May – added: “I am pleased to say that the Group’s overall trading performance in the first quarter has been in line with the plans we outlined at the end of May.
“In July we were able to begin the process of withdrawing from most of Greyhound Canada's operations in the west of the country, which will address some of the long-standing issues in that part of the business.”
The company announced in May that O’Toole was leaving with immediate effect as the firm posted a 5% fall in adjusted pre-tax profit to £197mln for the year to March 31, slightly below the consensus forecast.
READ: FirstGroup “unanimously rejects” potential all-cash takeover offer from private equity firm Apollo
Commenting on the outlook then, FirstGroup said it is expecting “an overall improvement in Road margins and returns, offset by a smaller contribution from the First Rail portfolio, resulting in broadly stable Group earnings in constant currency”.
Stagecoach is scheduled to announce its results for the six months to 30 September 2018 on Tuesday 13 November 2018.
In early afternoon trading, Firstgroup shares were 0.9% higher at 85.45p.