Optare sells 26% stake in business (From Lancashire Telegraph)

Optare sells 26% stake in business

1:12pm Friday 30th July 2010 in

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BUS maker Optare has sold a 26 per cent stake in its business to an Indian-controlled firm, it announced yesterday.

The Blackburn company said the tie-up with Ashok Leyland would allow it to sell more buses abroad, reduce costs and provide it with an immediate cash injection of around £5.6million.

Optare bosses said the deal was a boost to the firm’s 210 employees based in Lower Philips Road, Whitebirk.

Chief executive Jim Sumner said: “For the past year, we have focused on turning around our business.

“However, we have made no secret of our wish to find a long term strategic partner.

“Now with Ashok Leyland, I am confident of creating an organisation which will become a significant force in the global industry for many years to come.”

The agreement between Optare, which is listed on London’s Alternative Investment Market, and Ashok Leyland is set to be confirmed by Optare’s shareholders at an extraordinary general meeting on Monday, August 16.