United Rentals Completes Acquisition of NES Rentals | Construction News

United Rentals, Inc. has completed its previously announced acquisition of NES Rentals Holdings II, Inc. (“NES”) for a total purchase price of approximately $965 million in cash. The purchase was funded through a combination of newly issued unsecured debt and available capacity on the company’s ABL facility.

The acquisition increases the company's density in strategically important markets, including the East Coast, Gulf States and Midwest, and is expected to strengthen relationships with local and strategic accounts in the construction and industrial sectors. The assets acquired with NES include almost $900 million of fleet based on original cost, 73 branch facilities concentrated in the eastern half of the United States, and approximately 1,100 employees.

Michael Kneeland, president and chief executive officer of United Rentals, said, “We’re excited by the customer and investor benefits we’ve created through this combination, which leverages our technology, infrastructure and cross-selling capabilities. Most important, we’re gaining a great team that cares deeply about providing quality service and shares our intense focus on safety.”

Centerview Partners Holdings LP and Morgan Stanley acted as financial advisors to United Rentals, and Sullivan & Cromwell LLP acted as legal advisor. Catalyst Strategic Advisors, LLC and Deutsche Bank acted as financial advisors to NES, and Jenner & Block LLP acted as legal advisor.