The second-largest contractor in North America is under new ownership. Today, Mobico Group announced that it agreed to sell its school bus division, National Express School, to I Squared Capital, an infrastructure investor. 

The acquisition is anticipated to close in Q3 of this year and will involve all brands associated with National Express, including Durham School Services, Petermann Bus, and Stock Transportation.

National Express has over 100 years of experience in the student transportation industry. With a high-visibility contracting model and sticky revenue streams, it looks forward to embarking on a new chapter of growth in partnership with I Squared while retaining its safety record and brand heritage, the announcement stated.

Tim Wertner, CEO of National Express School, said: “This transfer of ownership will allow us to stand on a much stronger financial foundation for a wider spectrum of new opportunities and growth to benefit our stakeholders, valued partners, and prospects, as well as reinforce our position as a transportation leader and flourish to even greater heights. With I Squared Capital’s strong reputation and support of our company, we firmly believe they will be an outstanding steward for us, and we look forward to furthering our footprint in the student transportation industry together.”

Gautam Bhandari, global chief investment officer and managing partner at I Squared, added: “School transportation is more than just a daily commute. It’s a vital link to education, which underpins a functioning society regardless of the economic cycle. As infrastructure specialists, I Squared has specific expertise in providing vital public services, including public transport. Our investment will provide the capital needed to upgrade equipment and maintain safe, efficient transportation for children using this essential service so parents can rest assured each time their family member travels. We are proud to add this critical business to our portfolio and look forward to continuing to support its growth in North America.”