Flixbus remains on its expansion course and takes over the "Hellö" bus business of the Austrian Federal Railways (ÖBB). The European long-distance bus market thus continues to consolidate.
The successful Munich-based startup will integrate ÖBB buses into its long-distance bus network starting in August. According to the company, this network is already the largest in Europe.
FlixBus founder and managing director Jochen Engert comments on the takeover:
"We look forward to many new customers and a long-term collaboration with ÖBB. Together, we offer Austrian travelers an even more attractive alternative to their own car."
Consolidation in the long-distance bus market continues to progress
ÖBB justified the move by stating that it is unlikely to be able to achieve the ticket prices it is aiming for in the long-distance bus market. The market has changed significantly since ÖBB entered the market. Hellö launched in the summer of 2016. Valerie Hackl, CEO of ÖBB Personenverkehr AG, says:
“With this merger, our customers will benefit from an even larger long-distance bus service starting this summer.”
Jochen Engert also points to the growing range of offerings for Austrian customers:
"Instead of parallel services, we are creating more travel options through network integration. Customers in Austria will soon be able to take advantage of a significantly broader range of long-distance bus services."
The contract is scheduled to take effect on June 1, and the entire transaction is expected to be completed by July 31. The Austrian Flixbus partner Blaguss will take over operational management of the Hellö lines starting August 1. These lines will then be integrated into the Europe-wide FlixBus network. The current bus drivers will then work for ÖBB-Postbus. The purchase price will remain confidential.
