Stagecoach shares crash as UK moves on rail line

Shares in Stagecoach have plunged after the UK effectively renationalised ownership of a main train link connecting London and Edinburgh, questioned the company’s financial state, and promised no bailouts on the lossmaking route. The shares fell up to 14% in London.

Stagecoach, which also operates buses in the UK and US, has lost £200m (€226m) on the east-coast line since winning the contract in 2014, and was told last week that it had breached a key financial covenant.