The Manitowoc Company, Inc. has expressed its intent to expand and grow the company’s aftermarket. With strategic planning, Manitowoc, a leading global manufacturer of cranes and lifting solutions, has entered into a definitive agreement to acquire the crane business of H&E Equipment Services, Inc.
“Over the past few quarters, we have communicated that our intent is to grow through four strategic priorities, one of which is acquisitions focused on aftermarket,” Aaron H. Ravenscroft, President and Chief Executive Officer of Manitowoc said. “The purchase of H&E’s crane business is the next step in our journey to grow the less cyclical part of our business.
“H&E has a long history and excellent reputation for serving the lifting industry, and we look forward to welcoming the H&E crane team to Manitowoc.”
With the acquisition under Manitowoc’s belt, the company will be able to provide an expansion in rentals, new sales, used sales, aftermarket parts and services to its end market customers. To complete the transaction, Manitowoc is expected to pay approximately $130 million — a combination of cash and existing debt availability.
“H&E has become one of the largest rental equipment companies in the U.S. by maintaining a commitment to growth,” Brad Barber, Chief Executive Officer of H&E Equipment Services said. “The sale of our crane business to Manitowoc represents a transformative event in H&E’s continued efforts to increase its focus in the equipment rental business, while positioning us for future growth opportunities.
“We believe Manitowoc will provide further career opportunities for our crane employees and will also continue to offer first-class service to existing crane customers.”
The transaction is expected to close during the fourth quarter of 2021 and is subject to customary closing conditions and regulatory approvals.
Information supplied by The Manitowoc Company, Inc. on Business Wire and edited by Chantal Zimmermann. This story has been amended to reflect that Manitowoc Cranes is only acquiring H&E's crane business.