Manitowoc to acquire H&E’s crane operations
By D.Ann Shiffler20 July 2021
Manitowoc will acquire the crane operations of H&E Equipment Services, its largest distributor of Grove and Manitowoc cranes.
The Manitowoc Company has entered into a definitive agreement to acquire the crane business of H&E Equipment Services, one of the largest rental equipment companies in the United States, and a long-time distributor of Manitowoc products.
Under the terms of the agreement, Manitowoc said it expects to pay approximately $130 million funded by a combination of cash on hand and existing debt availability. The transaction is expected to close in the fourth quarter of 2021 and is subject to customary closing conditions and regulatory approvals.
“The acquisition of H&E’s crane business will expand Manitowoc’s ability to provide rentals, new sales, used sales, aftermarket parts and service to a variety of end market customers,” Manitowoc said.
H&E’s crane business operates with eleven full-service branch locations.
“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,” said Aaron H. Ravenscroft, president and chief executive officer, The Manitowoc Company. “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.”
As of May 2021, H&E reported owning 223 mobile cranes and no crawler cranes in the annual American Cranes & Transport ACT 100 list of top crane-owning companies. The company said the largest crane in its fleet is 165-ton Grove GRT 9165.
“H&E offers the most comprehensive crane product support network available in the crane industry, specializing in new and used crane sales, rentals, parts, service, CCO training, manufacturer-certified structural repair, and remanufacturing for all makes and models,” the company reported in its company description on its ACT 100 survey form. H&E Equipment Services said it was the largest Manitowoc and Grove crane dealer in the world and that it was an authorized Manitowoc EnCore Partner and a Manitowoc Crane Care Elite Dealer. H&E is also authorized deadlers for National Crane, Manitex, Effer and Marine Travelift.
“H&E has become one of the largest rental equipment companies in the U.S. by maintaining a commitment to growth,” said Brad Barber, chief executive officer, H&E Equipment Services. “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.”