WINNIPEG - Bus manufacturer NFI Group Inc. (NFI.TO) has acquired Alexander Dennis Ltd., a British maker of busses, for 320 million pounds or roughly $546 million.

Winnipeg-based NFI called the deal is a transformational acquisition.

The company formerly known as New Flyer Industries says the deal complements its product offerings, diversifies its business and creates a platform for international growth.

ADL has over 31,000 vehicles in service in Britain, Europe, Hong Kong, Singapore, New Zealand, Mexico, Canada and the United States under the Alexander Dennis and Plaxton brands.

Under the agreement, ADL chief executive Colin Robertson and ADL chief financial officer Michael Stewart will continue leading the company.

The transaction was funded through NFI's existing credit facility and the issuance of 1.47 million NFI shares to ADL's primary shareholders, including ADL's CEO and CFO.