New Flyer buys MCI
Motor Coach Industries International (MCI) has been sold to New Flyer Industries by KPS Capital Partners for a consideration of approximately $480m/£315.84m. MCI is a major manufacturer of intercity coaches in the US and Canada, providing 24 hour technical support, technician training and an extensive aftermarket parts and repair service. Headquartered in Des Plaines, Illinois, MCI operates manufacturing facilities in Winnipeg, Manitoba and Pembina, North Dakota, as well as a master parts distribution centre in Louisville and six service centres in North America. The Company employs over 1,500 people. Completion of the transaction, which is expected during the fourth quarter, is subject to customary closing conditions.
KPS Capital Partners acquired MCI in 2010. Under KPS’ ownership, MCI successfully achieved a ‘highly ambitious’ turnaround, which it claims has re-established it as a ‘clear market leader’ in the North American coach industry. In 2012, MCI established a strategic partnership with Daimler AG and acquired exclusive distribution rights for Setras and aftermarket parts in the US and Canada.
Jay Bernstein, a Partner of KPS, said, ‘We are very proud of MCI’s incredible turnaround, executed at the low point of the North America motor coach industry cycle and at the height of the financial crisis. We take immense pride in what MCI has accomplished. We thank Daimler AG for their valuable contributions to MCI’s success. The strategic partnership with Daimler AG further strengthened MCI’s leadership position in North America and helped accelerate the company’s growth trajectory. Additionally, we thank Hartmut Schick, Head of Daimler Buses Worldwide, for his leadership as a member of MCI’s Board of Directors.’