National Express expands US business with $200m Petermann Partners buy

>> Tuesday, September 13, 2011

National Express on Tuesday said it expected to complete the deal to buy America's fifth-largest provider of student transportation from Macquarie Global Opportunities in the fourth quarter of 2011,
"It's a great strategic fit for our existing school bus business, complementing our current operations, introducing us to new states and giving us a foothold in the market," National Express Chief Executive Dean Finch said in a statement.
"This is an important step in delivering our strategy of growth in North America."
Its once troublesome US school bus business has been turned around by a new management team, who have already secured most of the $15m of cost savings targeted for this second year of margin recovery.
The strategy helped profits at its existing North America school bus business rise 12pc to £34.6m duiring the first half of the year.
Shares in National Express, which have fallen 13pc in the last three months, ticked up 1.9pc in early deals, to 225.3p. Analysts at Peel Hunt also raised the stock from "hold" to "buy".
The deal is still subject to regulatory approval.

0 comments:

Post a Comment

  © Blogger template Simple n' Sweet by Ourblogtemplates.com 2009

Back to TOP