TRANSPORT group Go-Ahead has expanded its interests in the aviation market with the acquisition of Reed Aviation in a £5.3m deal.

The deal will see the Newcastle-based company take control of ground handling operations at six airports in the UK and Ireland.

It also distributes UK national newspapers by air to more than 40 countries.

In the year ended December 31, 2000, Reed Aviation recorded a pre-tax profit of £1m on turnover of £24.5m.

The deal is the second this year for Go-Ahead, which acquired the ground handling operations of British Midland Airways and its subsidiary, Midland Airport Services (Holdings), for £72m in January.

That deal saw Go-Ahead acquire the services at airports including Heathrow, Gatwick, Manchester and Teesside and more than doubled the group's ground handling operations.