Kelsian Group Limited (ASX:KLS), a global operator of bus, motorcoach, and marine transport services, has announced that its UK subsidiary, Huyton Travel Limited, has been awarded the Liverpool City Region Combined Authority (LCRCA) contracts for bus services. Kelsian is trusted by governments and private clients to deliver safe, reliable, and sustainable passenger transport solutions. The contracts fall under Tranche 1, Category 2 of the Liverpool Bus Franchising program.
The agreement with LCRCA involves the operation and maintenance of 73 buses from two leased depot facilities. The initial contract term is for five years, commencing in January 2027, with an option to extend for an additional two years. Kelsian anticipates the contracts will generate approximately $80 million in total revenue over the contract term, including the potential extension.
The contracts will require a new capital investment of approximately $8 million, with an estimated $2.4 million to be incurred in FY26 and the remainder in FY27. Samuel Ribeiro, Kelsian UK Managing Director, expressed his pleasure in securing the contracts, highlighting the confidence in their ability to deliver reliable and safe transport solutions. He also noted the revenue indexation mechanisms within the contracts, which protect the business from fluctuations in key cost inputs like diesel fuel.
Kelsian intends to participate in future bidding processes for additional bus service franchise opportunities under LCRCA’s Tranche 2, expected to be released later in 2026. These opportunities involve the operation of approximately 500 vehicles. The award of these contracts demonstrates the strength of Kelsian’s operating model in regulated public bus transport markets and the capability of its UK management team.
