An affiliate of Variant Equity Advisors, LLC (Variant Equity) announced the completed acquisition of Coach USA and Coach Canada, in which Wells Fargo Capital Finance (WFCF), a unit of Wells Fargo Commercial Capital, acted as administrative agent, lead arranger and book runner for the asset-based credit facility provided for the acquisition.
Variant Equity acquired Coach USA Administration, Inc. and its subsidiaries from Stagecoach Group plc in a transaction valued at approximately $271.4 million.
“We are extremely pleased with our ongoing relationship with the Wells Fargo team and their responsiveness to our financial needs,” said Farhaad Wadia, Managing Partner of Variant Equity. “Coach USA is well-positioned for the future and we are excited to have Wells Fargo as a lender as we look to capitalize on ongoing market opportunities.”
Variant Equity is a Los Angeles-based private equity firm.
“For us to be able to complete such an important financing for Variant Equity and help the firm continue to grow its portfolio of companies is rewarding,” said Christian Conroy, Managing Director, Wells Fargo Capital Finance. “This deal is demonstrative of our dedication and ability to provide our clients with capital solutions that meet both their transactional and ongoing needs.”
Headquartered in Paramus, NJ, Coach USA is a provider of passenger transportation and mobility services including intercity bus, public transit, employee transportation, campus shuttle and airport transportation services. The company operates through a number of marquee brands, including megabus.com, which provides intercity coach services. With over 4,500 employees and 2,200 buses, Coach USA has an extensive reach throughout the United States and Canada.
Coach USA will be led by CEO Linda Burtwistle, who previously served as the company's President and Chief Operating Officer.
Sidley Austin LLP and Alston & Bird LLP served as Variant Equity's legal counsel on the acquisition of Coach USA. Wells Fargo Bank, N.A. and MUFG Union Bank, N.A. served as joint lead arrangers for the financing of the transaction.
RBC Capital Markets acted as Financial Advisor, and Covington & Burling LLP acted as Legal Advisor to Stagecoach Group plc on the transaction.