New Flyer, a Canadian-based manufacturer of heavy-duty buses in Canada and the United States, today announced its $80 million purchase of NABI in a press release. NABI was previously owned by an affiliate of Cerberus Capital Management, L.P., a private investment firm based in New York.
"NABI represents a compelling growth platform for us," said Paul Soubry, president and CEO of New Flyer, in the press release. "The addition of NABI to the New Flyer family provides New Flyer with a highly complementary product line, access to new customers, a cost efficient manufacturing platform based in Alabama and it creates a significant player in aftermarket parts."
Founded in 1992 and known as American Ikarus before 1996, NABI employs more than 600 people and produces a comprehensive line of heavy-duty transit buses in Anniston. The company in January acquired a $210 million contract to build hundreds of natural gas-fueled buses for Dallas Area Rapid Transit. The work is scheduled to continue through 2015, when the contract is set to expire.
New Flyer operates three manufacturing facilities in Minnesota. The company produces buses powered by clean diesel, natural gas and electric trolley along with energy-efficient diesel-electric hybrids. New Flyer has delivered more than 32,000 heavy-duty buses in Canada and the United States.
"This transaction is mutually beneficial for both New Flyer's and NABI's customers and will provide both companies with access to new resources and customers that will serve as catalysts for future growth," said Dev Kapadia, a managing director of Cerberus, in the press release.
Staff writer Patrick McCreless: 256-235-3561. On Twitter @PMcCreless_Star.