Cerberus to buy United Rentals for $4 billion
24 July 2007
Equipment rental company United Rentals Inc. said it accepted a $4 billion takeover bid from private equity fund Cerberus Capital Management LP.
United Rentals'' board of directors has approved the takeover, which is still to be ratified by shareholders.
UBS Investment Bank was advisor to Greenwich, Connecticut-based United Rentals, which has over 690 rental locations across 48 states, Canada and Mexico, and rents everything from backhoes and excavators for demolitions, to welders and generators required for pipe fabrication.
Cerberus, is also in the process of acquiring auto major Chrysler Group in a $7.4 billion deal, and is not the only private equity fund to show interest in the equipment rental sector.