Buspak, the Manchester-based bus advertising company part-owned by Tony O’Reilly, has taken over Metrobus Advertising – which handles the giant Badgerline bus advertising contract – for an undisclosed sum.
Buspak chairman Peter Cosgrove will be chairman of the new operation. Meanwhile, Metrobus managing director Terry Dyer becomes deputy managing director and Buspak managing director John Smallwood managing director of the merged companies.
The new company will be known as Buspak. Four redundancies are expected.
Shareholdings in the venture are yet to be finalised, but Buspak will hold a controlling interest.
It is understood that the deal was clinched after Metrobus won the Badgerline contract in December. Metrobus had been looking for capital to develop its business.
“We will use this growth to bring in new advertising products from Australia and to push for growth in new parts of the country,” says Smallwood.
The new company will control 7,700 buses and represent a further 7,000 as national agents for regional companies.