Baton Rouge-based H&E Equipment Services announced Monday that it has signed an agreement to acquire Illinois-based One Source Equipment Rental.
Employee-owned One Source provides nonresidential construction and industrial equipment and has operations in the Midwest and South with 10 branches.
Under the agreement, H&E is expected to pay $130 million in cash for One Source, before customary adjustments. The transaction is expected to close during the fourth quarter of this year.
Brad Barber, H&E CEO, says the deal helps the company expand its geographic footprint.
Over the past year ended July 31, One Source generated revenues of approximately $59 million with a fleet size, as measured by original equipment cost, of approximately $138 million. One Source’s fleet consists primarily of aerial work platforms, material handling equipment and other general equipment lines.
Following the transaction’s closing, H&E’s equipment rental operations will extend across 117 branch locations in 28 states.