On Thursday, Cubic (CUB +0.00%) announced that its Cubic Transportation Systems subsidiary has acquired the NextBus subsidiary of Webtech Wireless for $20.7 million.
Cubic's subsidiary specializes in helping transport operators manage their operations, with a focus on fare payment systems. NextBus, meanwhile, is billed as being "North America's leading provider of real-time passenger information systems," serving more than 100 transit agencies in the U.S. and Canada, including such marquee customers as the metro systems of Los Angeles, Boston, Washington, D.C., and Toronto.
In a statement, Cubic said it intends to integrate NextBus into its own offerings to improve "utilization of information, wireless communications, and mobile devices as key technologies for the future of public transit" as part of a project it has dubbed "Nextcity."
Cubic shares reacted positively to the news, rising 1.8% Thursday to close at $47.36.
