Sun Mergers & Acquisitions, LLC is pleased to announce that its client, A and B Bus Co. of Irwindale, Calif., has been acquired by Student Transportation Inc. (STI).
Sun Mergers & Acquisition, LLC initiated this transaction, acted as exclusive financial advisor, and negotiated the transaction on behalf of A and B Bus Co.
Upon closing, Ken Ehlers, President of A and B Bus stated:
“We had discussions to sell with a few of the big operators but it went no where until we got Scott O’Rourke of Sun involved. They prepared a book on our company, presented it to various buyers, and generated a lot of interest. Scott negotiated the whole deal, including my employment agreement, our lease, and some other elements that were important to us. He also assisted us in finding an attorney and collaborated with everyone until the deal closed. Everything turned out as well as we could have hoped for.”
A and B joins the many acquisitions for STI. Denis J. Gallagher, Chairman and CEO of STI stated:
“This acquisition will strengthen our existing operating locations by adding regional density to those areas. We plan on continuing the excellent service and to provide our added value and expertise in safety and community service. They have very good drivers and customers who value safe and reliable local service.”
A and B Bus Company has provided student transportation services to the same Southern California region for nearly 40 years. The Business consists of contracted home-to-school regularly scheduled public school routes, as well as athletic and field trips.
As part of the transaction, Sun negotiated for Mr. Ehlers to remain with the Company and continue to run the location’s current operations. STI has entered into a long term lease of the property and will fund the acquisitions through its existing credit facility.
This closing marks Sun’s seventh school bus transaction over the last year.
