Sunbelt Rentals announces the acquisition of California-based Pacific High Reach and Equipment Services Inc. and all of its assets for $17.4 million under Section 363 of the Bankruptcy Code. Assets include approximately 1,200 pieces of rental equipment, from aerial lifts to generators, and roughly 35 vehicles. According to reports, the deal was approved in bankruptcy court on Nov. 15 and closed Nov. 18.
Pacific High Reach, headquartered in Orange County, CA, was founded in June 2001. The company specialized in high-reach boom and forklift vehicles and was a major supplier to decorating companies at southern California convention centers.
According to its investment banker FocalPoint Securities, Pacific High Reach expanded its operations through 2008, but felt the effects of the economic downturn in 2009 and early 2010. "The economic downturn led to substantial pricing pressure as demand for the company's services declined, spurring the company's decision to file bankruptcy and hire FocalPoint to explore strategic alternatives," FocalPoint said in a statement.