Daimler has taken a stake in Motor Coach Industries International, a US-based bus manufacturing company owned by turnaround firm KPS Capital Partners, for an undisclosed sum.
Motor Coach Industries is becoming the exclusive distributor of Setra motor coaches and aftermarket parts in the US and Canada.
The deal comes after KPS bought Motor Coach Industries International in 2010, following a multi-stakeholder recapitalisation. The company is a 2000 employee organisation, which was founded in 1933 and was majority owned by US-based bus business Greyhound buses for 45 years until being spun off in 1993.
Jay Bernstein, a partner of KPS, said: “KPS and MCI are very excited to establish this partnership with Daimler. The investment by Daimler validates MCI’s transformation under KPS’ ownership and accelerates the company’s growth trajectory. MCI is clearly positioned as a market and technological leader in the US and Canadian motor coach industry.”
Paul, Weiss, Rifkind, Wharton and Garrison advised KPS on the deal.