New Sussex train operator Govia is still on track to take over from present owners Connex by the end of June.

It means the new company will be able to start running the Connex South Central region, including the Brighton Line, routes through Horsham, and services along the coast to Portsmouth and Hastings, as the New Southern Railway two years ahead of schedule.

The companies announced yesterday they had signed a memorandum of understanding for the basis of the transfer to be made at the end of June, as we exclusively revealed on April 27.

Govia has spent the months since October, when it was announced French owned Connex had lost the franchise, planning an early takeover.

Complicated negotiations involving taking over trains, staff, and ticketing arrangements, and compensation for the assets and any profits during the remaining two years of the contract, are nearing completion.

Govia is 65% owned by the Go Ahead Group, which is the holding company for the Brighton and Hove Bus Company. Govia also owns the Thameslink train company, but will run the New Southern Railway as a separate company The franchise to run the current Connex South Central will last for the next 20 years.

The New Southern Railway has pledged to run cleaner trains, and instigate a multi million pound investment, with 1,000 new coaches, scrapping all slam door trains.

Bosses of the new company have pledged to keep existing staff contracts.

A statement from the companies said yesterday: "Both parties have agreed to work in full co-operation to ensure that the handover will be made as soon as possible in the best interests of the customers."

Connex will still continue to operate trains on its South Eastern Routes through Kent to Sussex, including Hastings, until its contract on that route runs out in 2011.

French owned Connex was the first private company to run train services in Sussex following privatisation in the Nineties. It took over in 1996.