Manufacturers New Flyer and Temsa were involved in high-stakes corporate sales as May came to a close.
Winnipeg-based New Flyer Industries, owner of MCI, announced May 28 that it had acquired Alexander Dennis Limited (ADL) of the United Kingdom for $405 million.
On May 30, Temsa of Adana, Turkey, announced that its shareholders sold their stock to True Capital Partners of Switzerland. Sabanci Holdings of Turkey owned 49 percent of Temsa. Owners of the remaining shares included members of the Sabanci family.
According to the Turkish online news site Ahval, the stock purchase was valued at $64.4 million.
New Flyer (NFI Group) employs 8,900 people at more than 50 facilities in 10 countries. Its brands include New Flyer heavy-duty transit buses, MCI motorcoaches, Plaxton motorcoaches, ARBOC low-floor cutaway buses and NFI Parts. The acquisition adds Alexander’s single-and double-deck buses to the portfolio.
“We think this is great news for MCI and its customers,” said Patrick Scully, MCI’s executive vice president of sales, marketing and customer service. “With the addition of Alexander Dennis Limited (ADL) to NFI Group, of which MCI is a part, NFI now has the broadest offering of vehicles in the market covering everything from low-floor cutaway vehicles to 60-foot articulated buses, our 35-foot and 45-foot motorcoaches and now double-deck buses.”
New Flyer purchased MCI, based in Des Plaines, Illinois, in 2015.
“Within North America we’ve now grown our team size, manufacturing footprint, product portfolio and aftermarket support,” Scully said. “ADL is a proven leader in the UK and other international markets and we see a great opportunity to share best practices from ADL to NFI and vice-versa within manufacturing, infrastructure and zero-emission transportation technology.”
ADL employed 2,587 workers in six assembly plants located in Scotland, England, the U.S. and Canada. Its 2018 revenues were $1.1 billion.
“We are excited to share a significant development with you,” wrote Hasan Yildirim, chief executive officer of Temsa, in an email to the company’s North American employees and partners. “With this development our company will continue its operations under True Value Capital Partners. Our company, which has exported more than 15,000 vehicles to 66 countries so far, will continue to grow in the coming period. Now it is time to create the Temsa of tomorrow together. We are looking forward to walking, even running, hand in hand with our new chairman on this exciting road.”
Ahval reported the Temsa sale “comes during a difficult period for Turkish manufacturers, who have suffered due to a rise in costs driven by the steep decline of the lira since the beginning of 2018. The lira dropped by 28 percent against the dollar that year, and it has been subject to large fluctuations this year.”
The news site said the Temsa sale “was decided during a technological and strategic shift by Sabanci Holding. The conglomerate’s decision to increase its focus on energy production was underlined by its acquisition of two of four regional tenders for a wind energy production program run by the energy ministry.”
Temsa formed its own distribution operation, Temsa NA, after informing previous distributor CH Bus Sales that it was terminating their agreement. While that termination continues to be litigated in U.S. District Court for Delaware, Temsa has begun motorcoach sales through Temsa NA.