Business
National Express acquires 60% stake in WeDriveU
National Express acquires 60% stake in WeDriveU.
About this update from Mobico Group Plc
[{"type":"text","content":"\n \nRNS Number : 9788V National Express Group PLC 12 April 2019 \n\nTHIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF EU REGULATION 596/2014.\nNOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN WHOLE OR IN PART, IN, INTO OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OR REGULATIONS OF SUCH JURISDICTION. \n \nNational Express acquires majority stake in Silicon Valley's premier employee shuttle company\n \n· Acquisition of 60% stake in WeDriveU, an employee shuttle company serving many of the world's largest and fastest growing companies in Silicon Valley\n· Option to acquire remaining shares in tranches over next three years\n· Earnings accretive from completion of the transaction\n· Positions National Express as a leader in a fast-growing region and market segment and provides further growth opportunities across North America\n· Further diversifies our North American operations, with $0.5 billion annualised revenue now generated outside of School Bus\n· Cash consideration of $84.3 million for an initial 60% equity stake\n· Transaction multiple of 7 times rolling 12 months EBITDA\n \nNational Express Group PLC (\"National Express\") is pleased to announce the acquisition (the \"Transaction\") of 60 percent of the shares of WeDriveU Holdings Inc. (\"WeDriveU\"), Silicon Valley's premier employee shuttle company. \n \nWeDriveU provides employee shuttle services to many of the largest Fortune 500 companies based in Silicon Valley and the broader San Francisco Bay Area. It also has a presence in several other fast-growing US cities (such as Los Angeles, Seattle, Boston, Portland, Denver and Austin), presenting other platforms for growth in the employee shuttle market. The business has grown rapidly in recent years, as many new contracts have been won and existing customers' services have expanded.\n \nThe remaining WeDriveU shares are held by Dennis Carlson (the CEO) and the senior management team, who will remain in place to oversee the next phase of their expansion. As part of the Transaction, National Express and the WeDriveU management team retain call a...