Leeds-based transport technology provider Tracsis plc said it has agreed to acquire Mistral Data Limited, a wholly owned subsidiary of FirstGroup plc, “for an enterprise value of £48 million on a cash-free, debt-free basis.”
Tracsis said: “Mistral Data is a UK rail software provider with a diversified portfolio of business-critical cloud-native software and data solutions that help Train Operating Companies (TOCs) communicate with passengers, manage demand and revenue, run day-to-day operations, monitor rolling stock, and turn operational data into insight.
“The acquisition accelerates Tracsis’ strategy to build a scalable, higher-margin transport software business. It will be funded from existing cash resources and debt facilities.
“Completion is subject to receipt of clearance from the UK Competition and Markets Authority (CMA) and certain other customary conditions. The transaction is expected to complete by no later than 31 October 2026.”
FirstGroup said Mistral Data’s revenues have grown from £7m million in FY 2022 to £13 million in FY 2026, with operating profit of £4 million.
Tracsis CEO David Frost said: “The proposed acquisition of Mistral Data is a highly strategic moment for Tracsis. Mistral Data is a high-quality business in the market we know best, with products that complement rather than compete with our own.
“Its products are built on a modern, cloud-native platform that delivers strong recurring revenues and high margins. Together, these attributes accelerate our transition to a scalable software product business.
“it comes at a time of structural change across the UK rail industry. As the transition to Great British Railways gathers pace, alongside cost pressure and rising passenger expectations, operators need smarter, more integrated tools to support safer operations, improve punctuality, protect revenue, keep fleets running and enhance the passenger experience – with less reliance on fragmented legacy in-house systems.
“We believe the combined group will be well placed to meet this demand, bringing together complementary capabilities across planning, operations, passenger experience and data, to create a broader and more relevant proposition for UK rail customers.”
FirstGroup CEO Graham Sutherland said: “The sale of Mistral Data, which we have successfully grown into an attractive, high-quality asset, is another example of our ability to create and realise value as the UK transport sector evolves.
“The sale proceeds will further strengthen our balance sheet, supporting continued growth in attractive UK bus and rail markets and meaningful returns to our shareholders.”