You may remember a 2015 RER Magazine article, “Navigating with Financial Buyers,” in which we discussed the new trend of private equity investors exploring acquisitions in the rental industry. Much like the “sudden” appearance of multiple financial buyers within the market several years ago (and still continuing today), we are now seeing another “new” type of acquirer: Equipment Dealerships.
Gary Stansberry notes, “We have seen more and more equipment dealers become interested in the rent-to-rent strategy and in fact, we recently represented an equipment dealer as it evaluated an acquisition opportunity in the rental industry. These dealers recognize the growing importance of the rent-to-rent model as an integral component in achieving their desired market share and brand exposure within their trade territory. Often, the biggest challenge for these dealer groups is finding a rental company, especially one such as this with multiple locations, that operates solely within their assigned territory.”
Determining what this means for the industry and how it could change our already evolving acquisition market is still difficult, as we are in the early stages of dealership interest. Whichever way this trend moves, The Stansberry Firm will be sure to keep you up to date and will continue to explore every avenue for our clients.
Check out the press release of our latest acquisition: Major Equipment Dealer Acquires Multi-Location Rental Company in Northeast.
The Stansberry Firm has nearly 30 years of experience in the rental industry and over 20 years experience specific to mergers and acquisitions within the same market. We have extensive relationships and a database that includes local and regional strategic buyers (those who are already in the industry or closely aligned with the industry), as well as financial buyers such as private equity firms and private investors.
Should you be interested in exploring the sale of your company or acquisition of another, give us a call to discuss; we will provide you with our honest opinion and advice at no charge or obligation. Additionally, we encourage you to do your due diligence on us or any other broker you may be considering.