The Aberdeen-based group, which also manages three UK rail franchises, says it is considering “structural alternatives” for First Bus, one of the largest UK bus operators with a fleet of almost 6,000 vehicles.
It has also announced plans to sell off its US Greyhound bus business, keeping its North American focus on First Student school buses and First Transit.
A FirstGroup spokesperson said: “We will be pursuing strategic options, through a sale or other means, to separate First Bus from FirstGroup.
“Please be assured that as this process unfolds, we will continue to operate our services as usual, working closely with our local authority partners and demonstrating our commitment to our customers through the service we offer them.
“In recent years we have improved customer service at First Bus by investing in our buses and new technology, transforming our networks, and making operations and maintenance more efficient.
“As a result, First Bus is now on a much stronger footing, and we believe it is the right time to pursue structural alternatives so the business can continue to provide excellent service, ensure the best possible future for our staff and continue to meet stakeholders’ requirements
“The hard work and commitment of our employees has ensured that First Bus is now well-placed for the future and we will keep them up-to-date over the coming months.”