ALEXANDER Dennis has won a £50 million order for more than 200 buses from transport company FirstGroup, a contract which will help underpin employment of around 900 at the manufacturer’s Falkirk factory.

The bus builder, which counts Stagecoach co-founders Brian Souter and Ann Gloag and Edinburgh-based merchant banker Sir Angus Grossart among its shareholders, has been awarded about 70 per cent of FirstGroup’s latest order.

Alexander Dennis will build 204 of the 305 buses in FirstGroup’s overall £70m order, with the vast bulk of the remainder of the vehicles being supplied by Wrightbus of Northern Ireland.

Colin Robertson, chief executive of Alexander Dennis, said: “Establishing ADL (Alexander Dennis Limited) as FirstGroup’s principal bus supplier is a great accolade, and a tribute to our product quality and reliability.

“This order will play a significant part in underpinning jobs at our manufacturing facilities in Central Scotland, Lancashire, Yorkshire and Surrey, where we employ 2,000 team members. It also spells good news for the 4,000 jobs in our extensive supply network.”

A spokeswoman for Alexander Dennis said that the building of the 204 bus bodies would be “fairly evenly split” between Falkirk and Scarborough, with the company’s Guildford plant engaged in chassis manufacture.

Giles Fearnley, managing director of FirstGroup’s First Bus operation, was happy that his company had been able to place a large part of its latest order with a fellow Scottish company.

Asked about this, he replied: “We are absolutely delighted. We have roots in Scotland. We are delighted to be able to support ADL who, we believe, produce a great product.”

He added: “We have always taken some ADL vehicles. We are taking a significant number – it is about 70 per cent of the order. We are very satisfied with their production, what they can do for us, and their timescales.”

Mr Fearnley noted that FirstGroup had, in each of the last four years, invested between £70m and £80m in its UK bus fleet.

And he added that, in the last three years, FirstGroup had invested a total of £52m in its bus fleet in Scotland, in 310 new vehicles.

FirstGroup noted that free wifi would be available on all 305 of the buses in its latest order - a mixture of single and double-decker vehicles as well as 10 coaches.

Mr Fearnley highlighted the fact that the latest order, in which all buses will be fitted with Euro VI engines, would further reduce emissions from the FirstBus fleet. He noted that FirstBus would also save money as investment in new vehicles boosted overall fuel-efficiency.

He said: “Our 2016 order again reflects our commitment to working with our partners to reduce emissions and improve the environment.”

Mr Robertson said: “We have worked closely with FirstGroup over many years to raise the bar for the industry. Our shared vision is to provide passengers and drivers with world-class products that introduce advanced technology, improve comfort, safety and vehicle performance, and exceed environmental requirements.”

Alexander Dennis has its head office at Larbert, close to its factory at Camelon in Falkirk.