MCI is the largest North American manufacturer of intercity buses
New Flyer Industries Inc. has announced today the signing of an agreement to acquire the Motor Coach Industries International - MCI, the largest North American manufacturer of intercity buses. The transaction, which was estimated in US$ 455 million, represents the union of the two largest bus producers in the North American market. This deal is expected to generate a number of benefits for businesses such as costs and operational excellence, information technology and engineering. While the two companies share a few clients, MCI does not compete with New Flyer.
"We are excited about the combination of the number one North American brand of urban buses with the number one North American brand of intercity buses. We are very proud of our successful track record, which is a result of employee engagement, customer satisfaction and value creation for the shareholders”, stated Paul Soubry, the CEO of New Flyer.
The acquisition of MCI is an important step towards the diversification and growth of New Flyer in areas such as supply, manufacture, distribution of parts and service expertise. MCI is the only road coach sales and services representative in the United States and Canada of the Setra brand, owned by Daimler. New Flyer has also a strong relationship with Marcopolo SA, benefiting from its global expertise in the development, design and manufacture of urban and intercity buses.
Founded in 1933 in Winnipeg Manitoba, MCI has three factories and nine service centers and parts distribution. The company is internationally recognized for its high standards of quality, reliability, low maintenance costs and robustness. The company also counts with a strong network of spare parts and services. From January to September 2015, MCI reported a total revenue of US$ 443 million, resulting from the sales of 576 new buses and spare parts, and customer service.
About New Flyer
New Flyer is the leading city bus manufacturer in the United States and Canada. The company is a technology leader and offers a broad product line that includes powered by clean diesel, natural gas, diesel-electric and electric-hybrid vehicles.
The group of New Flyer companies employs more than 3,300 people in Canada and the United States. More than 40,000 urban buses of the New Flyer, Orion and NABI brands are in operation today.
Photo credit: Divulgação New Flyer