TRANSPORT group Arriva has strengthened its position on the Continent with a £10.3m deal for a Danish bus operator.

The Sunderland company, which operates more than 6,000 buses and two rail franchises in the UK, acquired Wulff Bus A/S.

Wulff operates city and regional bus services in Jutland, Denmark, and employs 600 staff to run 300 vehicles.

The acquisition is a positive result for Arriva, which has suffered recently in its rail division.

The company's Arriva Trains Northern operation lost the race for the new northern rail franchise to Serco/Netherlands Railway.

That compounded the company's previous loss of the TransPennine Express franchise to a consortium of First Group and French transport operator Keolis.

Arriva has enjoyed a stronger showing in mainland Europe, having entered the Danish market in 1997.

It is the major bus services operator in the country, with about a third of the national market and a 40 per cent share in Greater Copenhagen.

Arriva also operates two passenger rail franchises in Jutland.

Bob Davies, Arriva's chief executive, said: "This acquisition provides an excellent opportunity to deliver increased service efficiency and quality.

"In Jutland, we will be able to focus on developing greater integration of public transport."