UK transport group National Express has announced its acquisition of one the largest student transport service providers in the US.
Cincinnati, Ohio-based Petermann Partners Inc is the fifth largest provider of student transport services in the US, with operations across 10 states in the Midwest, West and Southwest.
National Express said the move would strengthen its position in the US student transport market, adding over 3,300 vehicles and increasing its fleet size by 20 per cent. The company already has 16,475 buses at 175 locations serving the North American student transport business.
For the fiscal year ending 30 June 2011, Petermann generated revenues of $149.9 million (approximately £95 million).
Commenting on the news, Dean Finch, group chief executive of National Express, said: "We are delighted to acquire such a high quality business in Petermann. Our recent improved performance has enabled us to take advantage of this opportunity.
“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 paratransit market. This is an important step in delivering our strategy of growth in North America."
Pete Settle, president and CEO of Petermann, added: "We are pleased to have this opportunity to join the National Express Group. Since its founding over 12 years ago, Petermann has grown to become one of the largest student transportation businesses in the US.
“The combination with National Express will provide us with an even greater opportunity to continue the strong growth in the business, and we look forward to working with Dean and his team."
The deal is worth $200 million (approximately £127 million).
