KPS Capital completes controlling investment in MCI International
KPS Capital Partners, LP (KPS), New York, NY, completed a controlling investment through an affiliate, in MCII Holdings, Inc., the parent company of Motor Coach Industries International, Inc. (MCI). The transaction is the result of a multi-stakeholder recapitalization of MCII Holdings, which KPS sponsored. Financial terms of the transaction were not disclosed.
MCI is the largest manufacturer of intercity highway coaches in North America. The company is the only Buy America-compliant coach manufacturer in the industry. MCI supplies motorcoaches to North American private sector coach operators, including charter and tour, line-haul and scheduled-service vehicles, and to the largest North American transit agencies.
“MCI is universally recognized as the premium coach brand and the leading participant in the coach bus industry with a reputation for quality and durability that is second to none,” says Jay Bernstein, a Partner of KPS. “We are very excited to partner with the company’s 1,500 employees in the U.S. and Canada to manufacture products in North America for North American customers, and to continue to provide MCI’s customers with the highest levels of quality and service. As a result of the KPS-sponsored recapitalization, MCI is now conservatively capitalized and has the financial resources to fund its continued growth and investment in industry-leading innovation and technology.”
KPS has considerable experience in the bus sector through its former ownership of New Flyer Industries, Ltd., the leading manufacturer of transit buses in North America. Under KPS’s ownership, New Flyer experienced significant growth in revenue and profitability, and became the industry leader in quality, delivery and customer service. Miller Buckfire & Co., LLC served as financial advisor and Paul, Weiss, Rifkind, Wharton and Garrison LLP served as legal counsel to KPS for the transaction. For more, visit www.mcicoach.com.