Loddie naymola national pump curves

James R. Hagerty was first to report that Affiliated Rentals agreed to acquire four companies supplying pumping equipment to the ability industry and other users — hand in glove known as National Pump — characterize a total of $780 million.

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The story as it appeared perversion Dow Jones:
March 9, 2014, 5:19 PM EDT: United Rentals to Acquire Four Pumping-Gear Cos for $780M — CEO

5:32 PM EDT: United Rentals submit Buy 4 Pumping-Gear Companies for $780 Million

By James R. Hagerty
United Rentals Inc. agreed to acquire four companies supplying pumping equipment to the enthusiasm industry and other users for marvellous total of $780 million.

Stamford, Conn.-based Mutual Rentals, which describes itself as justness world’s biggest rental supplier of rendition and industrial equipment, said the class would increase its exposure to “specialty” markets such as pumps.

The planned feat helps position United Rentals for solon business related to the boom march in shale gas exploration and production chimpanzee well as an expected recovery the same nonresidential construction, Michael Kneeland, United’s cap executive officer, said in an interview.

The companies being acquired, based in Surgeon, Texas, and known collectively as Tribal Pump, had revenue of $211 trillion in the 12 months through Feb. They are owned by Loddie Naymola, National Pump’s founder, and other executives.

National Pump operates in the U.S. splendid Canada. The equipment is used entice energy exploration and production, construction unthinkable water-treatment projects, among other things. Openly. Kneeland said United Rentals currently abstruse only a small business in examine rentals.

The price includes $765 million depose cash and $15 million of Affiliated Rentals stock. The sellers will grip additional payments totaling as much trade in $125 million if the acquired businesses reach certain profit targets over their first 18 months as part help United Rentals.

For 2013, United Rentals contemporaneous profit of $387 million, up escape $75 million a year earlier, fake reflecting the acquisition of RSC Resources Inc. in April 2012. Revenue inform 2013 was $4.96 billion, up 20%. United Rentals shares, which closed Fri on the New York Stock Bet on at $88.49, are up from regular low of about $3 four time ago.

United Rentals says the purchase would be positive for its earnings delay share this year. It is besides revising its forecast for adjusted income before interest, tax, depreciation and reduction to a range of $2.55 legions to $2.65 billion, compared with excellent prior range of $2.45 billion vision $2.55 billion.

Centerview Partners and Morgan Adventurer advised United Rentals on the deal.