REG - Mobico Group PLC - Update on School Bus sale and FY25 Profit Guidance

MobicoAnnouncement

Tue 07:00

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RNS Number : 0672O  Mobico Group PLC  24 June 2025

24 June 2025

MOBICO GROUP PLC

("Mobico" or the "Group")

Update on North America School Bus sale and FY 2025 Adjusted Operating Profit
Guidance

On 25 April 2025 Mobico announced that it had agreed to sell its North America
School Bus business ("School Bus") to I Squared Capital ("I Squared") for an
enterprise value of up to $608 million (~£457 million 1  (#_ftn1) ) (the
"Transaction").

Since that announcement, good progress has been made in obtaining the
necessary consents and approvals, including anti-trust approvals, required for
the Transaction to close. The only substantive approval remaining is from the
US Surface Transportation Board ("STB"), which has already tentatively
approved and authorised the Transaction, and this approval is expected to
become final in early July 2025.

On the basis that the STB approval does become final in early July 2025,
Mobico would expect to close the sale of School Bus in July 2025. Expected
upfront net proceeds 2  (#_ftn2) remain at approximately $365-385 million
(~£275-290 million1 ) with the final outcome confirmed following the closing
of the Transaction.

An update on anticipated cashflow and leverage will be provided following the
closing of the Transaction, and the Group continues to have strong liquidity
with no significant debt maturities due until the second half of 2027 and the
sale of School Bus providing sufficient proceeds to cover those maturities.

Mobico also takes this opportunity to confirm that, excluding any contribution
from School Bus for the period of the Group's ownership in FY 2025, it
currently expects FY 2025 Adjusted Operating Profit to be in the range £180 -
£195m 3  (#_ftn3) .

For further information, please contact:

Mobico Group PLC

 Michael Barker, Investor Relations  +44 (0)121 803 2580

Headland

 Stephen Malthouse     +44 (0)7734 956201
 Matt Denham           +44(0)7551 825496

About Mobico Group

Mobico is a leading, international shared mobility provider with bus, coach
and rail services in the UK, North America, continental Europe, North Africa
and the Middle East.

Notes

1.   Legal Entity Identifier: 213800A8IQEMY8PA5X34

2.   Classification: 3.1 (with reference to DTR6 Annex 1R)

 

 1  (#_ftnref1) Translated illustratively at a GBP / USD rate of approximately
1.33 based on the rate as at close of business on 24 April 2025.

 2  (#_ftnref2) Net upfront proceeds for covenant deleveraging, after
deduction for debt-like items including IFRS 16 leases, deferred capital
expenditure, and other items, as well as transaction fees. The Net Proceeds
figure does not include the earn-out amount. The final amount of Net Proceeds
will be subject to customary completion adjustment by virtue of the completion
accounts mechanism and dependent on the timing of completion.

 3  (#_ftnref3) School Bus contributed £9m of Adjusted Operating Profit in
FY2024.

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