Arriva Group owner I-Squared Capital has reached agreement with Mobico Group to acquire Mobico’s National Express School operation in North America for a reported sum of up to US$608 million (£456 million).
The deal is expected to close in Q3 2025. It includes Durham School Services, Petermann Bus, Stock Transportation and all other brands within the National Express School portfolio, with the business already expecting growth under I-Square Capital ownership.
Agreement by I-Squared Capital to buy National Express School follows the infrastructure investor’s completion of the purchase of Arriva Group from Deutsche Bahn in 2024.
The process by Mobico to dispose of school bus operations in North America commenced in 2023. Those are active in 34 states and two provinces, carrying over 1.2 million students.
I-Squared manages over US$38 billion of global assets in more than 70 countries. When the Arriva purchased completed, it noted how passenger transport “plays a vital role in society, connecting communities and facilitating economic growth.”
Speaking about the sale, National Express School CEO Tim Wertner says it “will allow us to stand on a much stronger financial foundation for a wider spectrum of new opportunities and growth to benefit our stakeholders, multiple 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 for our company, we firmly believe that it will be an outstanding steward for us, and we look forward to furthering our footprint in the student transportation industry together.”
I-Squared Global Chief Investment Officer and Managing Partner Gautam Bhandari adds that the change of ownership “will provide the capital needed to upgrade equipment and maintain safe, efficient transportation for children using this essential service.”
National Express School is one of Mobico’s two areas of activity in North America. The other captures transit and shuttle services. In 2023, operations on the continent generated £1.1 billion of revenue.
