Summary
United Rentals, Inc. (URI) has officially completed the acquisition of NES Rentals Holdings II, Inc. (NES) through a merger that became effective on April 3, 2017. This strategic move, initially announced on January 25, 2017, involved URI's wholly-owned subsidiary, United Rentals (North America), Inc. (URNA), merging with and into NES. As a result, NES and its subsidiaries will be integrated into URNA. This acquisition represents a significant expansion for United Rentals. The total consideration for the merger amounts to $965 million, subject to customary adjustments for purchase price, fleet sales, and purchases as outlined in the merger agreement. Investors should view this as a key step in URI's growth strategy, likely aimed at enhancing market share and operational scale within the equipment rental industry.
Key Highlights
- 1Completion of the acquisition of NES Rentals Holdings II, Inc. (NES) by United Rentals, Inc. (URI).
- 2The merger was finalized on April 3, 2017, through URI's subsidiary, United Rentals (North America), Inc.
- 3The total base consideration for the acquisition is $965,000,000.
- 4The purchase price is subject to customary post-closing adjustments, including those related to rental fleet sales and purchases.
- 5NES Rentals and its subsidiaries will be merged into United Rentals (North America), Inc., continuing URI's operational consolidation.
- 6NES equity awards were fully vested at the time of the merger.
- 7URI announced the consummation of the merger via a press release filed as an exhibit.