National Express Announces £350m Rights Issue

National Express Group has announced a £350m rights issue in an attempt to shore up its debt laden balance sheet. Interestingly this move does not appear to have the support of its largest shareholder, the Cosmen family, who own 18% of the business.

National Express this week hand back their East Coast franchise and it is reported that the Department for Transport is still determined to strip the group of its East Anglian (NXEA) and C2C franchises. However the group said this morning that it would fight any such attempt that would effectively remove it from the UK rail business.