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Greyhound Going British

Bus owner Laidlaw International agrees to be acquired by Britain's FirstGroup for $2.8 billion.

Greyhound bus owner

Laidlaw International

(LI) - Get Li Auto Report

agreed to be acquired by British transportation company

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for about $2.8 billion.

FirstGroup will pay $35.25 a share for Laidlaw, an 11% premium over Thursday's closing price of $31.72. FirstGroup also will assume about $800 million in debt.

"Our goal for the past four years has been to develop, demonstrate and deliver shareholder value," Naperville, Ill.-based Laidlaw said. "We believe this transaction is the epitome of that goal and represents an excellent opportunity for both companies' employees and shareholders."

Shares of Laidlaw were trading up $2.72, or 8.6%, to $34.44.