Manitowoc acquires the crane business of H&E Equipment Services
The Manitowoc Company, Inc., a leading global manufacturer of cranes and lifting solutions, announced the closing of the acquisition of the crane business of H&E Equipment Services, Inc., one of the largest rental equipment companies in the U.S., for approximately $130 million, subject to the finalization of net working capital and other transaction adjustments.
“We are excited to welcome the H&E crane team to the Manitowoc family. The acquisition of the H&E crane business advances our strategy to expand our aftermarket activities within a significant geographic region. The crane business will operate under our new wholly-owned subsidiary, MGX Equipment Services, LLC. Together, we are in a stronger position to continue delivering industry-leading products and support for our customers while growing shareholder value,” commented Aaron H. Ravenscroft, President and Chief Executive Officer of The Manitowoc Company, Inc.
Brad Barber, Chief Executive Officer of H&E Equipment Services, Inc., noted: “With the closing of the transaction, H&E has fully exited all crane distribution and service activities while positioning the Company for continued expansion in the equipment rental business. We believe our transition to a pure rental business strategy should result in improved revenues and margins through the industry cycle.”
H&E also reported that the previously announced agreement to sell two earthmoving distribution branches in Arkansas has closed. H&E will remain a distributor of earthmoving equipment in the state of Louisiana.
Following the closing of the two transactions, H&E’s equipment rental operations extend across 101 branch locations in 24 states.
MGX Equipment Services, LLC will expand Manitowoc’s ability to provide new sales, used sales, aftermarket parts, service, and crane financing options to a variety of end market customers. MGX along with the previously announced acquisition of Aspen Equipment Company includes fourteen full-service branch locations along with field service technicians that provide industry-leading technical competencies and exceptional customer support.
