Platinum Equity announced it has signed a definitive agreement to sell NESCO to an affiliate of Energy Capital Partners LLC ("ECP"). Terms of the agreement were not disclosed. The sale is expected to close during the first quarter of 2014.
Based in Fort Wayne, Ind., NESCO is a leading provider of fleet equipment rental, sales and services for the North American electrical transmission and distribution market. NESCO maintains one of the largest utility equipment fleets in North America and services a broad customer base across a national footprint with locations throughout the United States.
"We are proud of the way NESCO has grown and evolved over the past two years as part of the Platinum Equity portfolio," said Louis Samson, the Partner at Platinum Equity who led the team that acquired NESCO. "We made significant capital investments and partnered with the management team to drive substantial growth and operational improvements. The business is well positioned for continued success under Lee Jacobson's leadership and the ownership of ECP."
Platinum Equity acquired a controlling interest in NESCO in October 2011 from an investor group which included founder Rob Troxel.
Since that time, NESCO has undergone a series of operational initiatives to drive organic growth and create a more profitable and operationally sound business. It made significant investments in its people, fleet, operations, processes and systems.
Under Platinum Equity's ownership, the company also completed two add-on acquisitions, which helped grow NESCO's fleet and expand the company's footprint in key regions. In August 2012, NESCO acquired the utility equipment fleet and related assets of Penske's utility rental division and in December 2012 acquired Utility Equipment Leasing Corporation.