Arriva agrees to acquire Veolia Danmark

Leading European passenger transport group Arriva plc todayannounced it has contracted to acquire Danish bus company VeoliaDanmark for an undisclosed consideration.

The gross assets of the acquired company are valued atapproximately DKK 646 million (approximately £58million).

Arriva will acquire 100 per cent of the shares in the business,following the decision of its parent company, Veolia TransportNorthern Europe, to exit the Danish bus market. Theacquisition will enable Arriva to build on its position as theleading operator in the Danish bus market.

Veolia Danmark operates 640 buses across Denmark and has 1,700employees. It is the second largest operator in the Danish busmarket, with a market share of 21 per cent.

The acquisition, which is conditional upon consent from localtransport authorities to the transfer, is due to complete on 31August 2007.

David Martin, chief executive of Arriva plc, said:“Scandinavia is a key market for Arriva. With 10 years ofoperating experience and unrivalled local expertise we are proud tobe market leader in Denmark’s mature, competitive busmarket.

“We look forward to integrating Veolia Danmark withArriva’s efficient Danish operations and developing furthertransfer of best practice and economies of scale.”