Southend Airport bosses have sold their rail branch for just £1,000 to help focus on air, it has now been revealed.

Stobart Group will now shift their focus by instead concentrating on aviation and energy infrastructure, particularly looking to further invest in Southend Airport.

The new agreement has seen the Stobart Group sell on Stobart Rail Limited (which owns the rail and civils division) to Bavaria Industries Group AG for £1,000, although up to £2.9 million more may be payable, depending on the outcome of a still in progress contract.

It comes after the group confirmed that they had intended to do part ways with the rail firm by the spring of next year, following the business' continued losses.

Southend Standard: Southend Airport

The deal includes the transfer of specialist plant and equipment, and there will also be a three-month transitional services agreement to keep administrative functions going to support Stobart Rail and Civils temporarily.

Bavaria Industries Group, is an industrial holdings company which was founded in Germany in 2002. It specialises in rescuing companies which are unprofitable by cutting their costs, developing new sources of revenue and preserving as many jobs as possible.

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Warwick Brady, Chief Executive, Stobart Group, said: "In June we set out our strategy which will see the group focus its investment on our aviation assets, particularly London Southend Airport. 

"The sale of the rail and civils business removes the obligation for the group to fund the expected ongoing losses of the rail business and is a first step in achieving our goal of focusing our investment on aviation."