ST. CLOUD, Minn.—New Flyer Industries Inc. is driving further into the U.S. specialty bus business with a $95 million acquisition.
The Canadian bus manufacturer said Dec. 1 it has bought Middlebury, Indiana-based ARBOC Specialty Vehicles LLC, a company that focuses on cutaway buses. The all-cash deal was not subject to any closing conditions and was made through one of New Flyer’s U.S. subsidiaries.
Paul Soubry, NFI’s president and CEO, said the deal will give the company a entry point into the market for both cutaway and medium-duty transit buses.
“The acquisition of ARBOC provides us with complementary product lines and a unique opportunity to continue with growth and diversification, as NFI Group now has a full suite of transit buses and motor coaches to offer to North American public transit agencies and private operators,” he said in a statement.
ARBOC employs about 100 people at a 112,000 sq. ft. plant in Middlebury. It expects to build 360 buses this year and about 500 next year.
New Flyer plans to leave ARBOC’s management team in place following the acquisition.