02:58 PM EDT, 07/11/2024 (MT Newswires) -- Blue Bird ( BLBD ) said Thursday it was selected for an $80 million grant by the US Department of Energy to increase the company's production of Type-D electric school buses.

The company aims to boost production by converting a diesel-powered motorhome manufacturing site in Georgia into an electric vehicle manufacturing facility.

The grant, which is part of a domestic manufacturing conversion grant program, is subject to a final contract and funding negotiations with the department that can take up to 120 days to conclude, the company said.

The converted facility will add more than 400 new manufacturing jobs, the company said.

Shares of Blue Bird ( BLBD ) were up 4.7% in recent trading.

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