United Rentals to Acquire Neff Corporation for $1.3 Billion
United Rentals, Inc. and Neff Corporation, operating as Neff Rental, have entered into a definitive agreement under which United Rentals will acquire Neff for $25 per share in cash, representing a total purchase price of approximately $1.3 billion. The transaction is expected to be immediately accretive to cash EPS and free cash flow.
Based in Miami, Fla., Neff offers earthmoving, material handling, aerial and other equipment rental solutions to more than 15,500 construction and industrial customers. Approximately 1,200 Neff employees and 69 branches serve end markets in the infrastructure, non-residential, energy, municipal and residential construction sectors.
The boards of directors of United Rentals and Neff unanimously approved the agreement. Private investment funds managed by Wayzata Investment Partners LLC, which hold approximately 62.7% of the outstanding common shares of Neff, have executed a written consent to approve the transaction, thereby providing required stockholder approval. The transaction is expected to close in the fourth quarter of 2017, subject to Hart-Scott-Rodino clearance and customary conditions.
Immediately prior to entering into the definitive merger agreement, Neff terminated its previously announced merger agreement with H&E Equipment Services, Inc. In connection with this termination, United Rentals has paid H&E a termination fee of approximately $13.2 million on behalf of Neff.
Related News
From Archive
- Inside Sempra’s 72-mile pipeline with 18 major trenchless crossings
- Trump vetoes bill to finish $1.3 billion Colorado water pipeline
- PHMSA warns of heat risks in aging plastic gas distribution pipelines following deadly Pennsylvania explosion
- Infrastructure failure releases 100,000 gallons of wastewater in Houston; repairs ongoing
- OSHA seeks $1.2 million fine after fatal trench collapse in Connecticut
- Worm-like robot burrows underground to cut power line installation costs
- First tunnel boring machines complete testing for Hudson Tunnel Project
- Infrastructure failure releases 100,000 gallons of wastewater in Houston; repairs ongoing
- Construction jobs stumble into 2026 after weak year
- NWPX grows water infrastructure portfolio with Colorado precast facility
Comments