Freshfields advises Mobico on proposed sale of UK Bus to the West Midlands Combined Authority

Global law firm Freshfields is advising Mobico on its agreement in principle for the sale of the net assets and operations of its West Midlands bus business ('UK Bus') to the West Midlands Combined Authority ('WMCA').

The transaction significantly de-risks the Mobico group from the potential to lose market share in the forthcoming franchising process, crystallises value for its assets today broadly in line with book value, whilst providing a clean transfer of the Mobico group's operations, employees, cost base and other liabilities. The transaction provides WMCA with full control of the network, assets and operations of the business, significantly de-risking and facilitating the path to franchising in the area.

Mobico is required to undertake an internal reorganisation prior to completion of the transaction to transfer the assets and operations of UK Bus into a new legal entity. The Transaction is expected to close around November 2026.

The Freshfields team advising on the transaction is being led by GMAC partners Andy Robinson and Claire Wills and associate Amadita García. They were supported by tax partner Paul Davison, finance partner Martin Hutchings, real estate partner David Seymour, employment partner David Mendel and pensions partner Dawn Heath.