Canadian bus company NFI acquires British double decker bus company for $546M
Company formerly known as New Flyer Industries buys Alexander Dennis in 'transformational' deal
Bus manufacturer NFI Group Inc. has acquired Alexander Dennis Ltd., a British maker of buses, for 320 million pounds or roughly $546 million.
Winnipeg-based NFI called the deal is a transformational acquisition.
The company formerly known as New Flyer Industries says the deal complements its product offerings, diversifies its business and creates a platform for international growth.
ADL has over 31,000 vehicles in service in Britain, Europe, Hong Kong, Singapore, New Zealand, Mexico, Canada and the United States under the Alexander Dennis and Plaxton brands. The company is the biggest manufacturer in Britain of those iconic double decker buses.
On its website the company says ADL is based in Scotland and employs over 2,500 employees with over 31,000 vehicles in service and operations in the United Kingdom, Ireland, Europe, Hong Kong, Singapore, Malaysia, New Zealand, Mexico, Canada and the United States. The company generated more than $1 billion Canadian in revenue last year.
Under the agreement, ADL chief executive Colin Robertson and ADL chief financial officer Michael Stewart will continue leading the company.
The transaction was funded through NFI's existing credit facility and the issuance of 1.47 million NFI shares to ADL's primary shareholders, including ADL's CEO and CFO.With files from CBC News