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Stena pays £50m for P&O routes and ferries
Stena Line has secured the purchase of one of P&O’s Irish Sea routes after the UK Competition Commission blocked an earlier bid. Stena has bought the Fleetwood-Larne route and five ferries from P&O for £50 million in cash. These are European Leader, European Pioneer, European Seafarer, and the two P&O ferries currently operating on the Mostyn-Dublin route, European Ambassador and European Envoy. The sale is expected to be completed on 5 April. Managing Director of P&O Ferries, Russ Peters, said: “The proposed transaction is in line with our policy of focusing on our higher yielding ferry routes where we have a competitive advantage. Although some of the details have changed, the transaction would in effect achieve much of what we originally proposed last year.” Stena already operates four routes on the Irish Sea: Fishguard-Rosslare, Holyhead-Dublin, Holyhead-Dun Laoghaire and Stranraer-Belfast. The UK Competition Commission blocked the acquisition of the Liverpool-Dublin route by Stena last year over competition concerns, but has allowed the latest bid to go ahead. The deal may mean that P&O’s loss-making Mostyn-Dublin is closed. The company says it is currently in consultations with the relevant staff. The ferry operator says it will continue to operate the Liverpool-Dublin route with two ferries as well as Larne-Cairnryan, Larne-Troon and Rosslare-Cherbourg. Report by Ginny McGrath
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