Transport firm snaps up Manchester site to boost revenues to £90m

Rotala, the transport business with headquarters in Sandwell, has bought a new bus depot in Bolton from First Manchester, after securing a £5.3m finance package from HSBC UK.

The new Bolton depot, which makes Rotala the second largest player in the Manchester bus market, will become the company’s new North West headquarters.

The purchase includes 18 commercial bus routes operating in the Bolton, Bury and central Manchester area as well as the depot, plant and machinery at the site. With two smaller depots already in operation in the North West, the acquisition makes the division the largest in the Rotala group. Approximately 500 First Manchester staff also transferred to Rotala.

Following the integration of its new acquisition, Rotala’s annual turnover will increase on an annualised basis by 45% to £90m in a full year.

Simon Dunn, chief executive of Rotala, said: “The recent acquisition in Manchester is part of our wider expansion strategy and we look forward to investing in the business and the bus fleet to deliver efficiencies and improve customer experience.”

Keith Webb, HSBC UK deputy regional director for corporate banking Midlands, said: “An existing customer of ours, Rotala approached us with a clear vision for the business and an understanding of the types of funding it would need to pursue its acquisition strategy. The bank’s extensive experience in the transport industry means we are well-positioned to support the company’s plans. We look forward to continuing our relationship with Simon and his team at Rotala.”