Passage East Ferry Company goes on the market

Passage East Ferry Company, which operates a continuous car ferry service between Co Waterford and Co Wexford, has put itself up for sale.

The company is to be sold as a going concern by business advisory specialist Crowe Horwath as Derek Donnelly, who established the firm in 1982, is to retire.

Insurer FBD holds a 70 per cent share in the group, arising out of a legacy investment. The company currently employs 16 people full-time.

The ferry service operates on the River Suir connecting the villages of Passage East in Co Waterford with Ballyhack in Co Wexford. The business includes a 28-car vehicle ferry, a commercial premises and a storage yard.

Revenue for the company, which has seen turnover in the region of €1.6 million per annum over the last five years, rose by almost 5 per cent in 2015 with an additional 2.5 per cent growth forecast for 2016. The company reported earnings before interest, taxes, depreciation and amortisation (ebitda) of €587,000 last year, up 30 per cent on 2014.

The ferry service, which makes an average of 106 sailings per day, increasing to 112 during the summer, saw a 5.4 per cent rise in passenger volumes in 2015.

"This sale will generate significant interest, both in the domestic and international markets, and represents a unique opportunity to acquire a long-established business," said Naoise Cosgrave, managing partner at Crowe Horwath.

“Passage East Ferry Company boasts a strong trading history, solid revenues, growing ebitda and clear potential for further growth fuelled by economic and tourism activity in the region, which remains on an upward trajectory. This will interest investors seeking a profitable and cash generative investment,” he added.