Shareholders of Essex Rental Corp have approved the acquisition of its Coast Crane subsidiary by Maxim Crane Works.
The all share purchase is worth $72.5 million and was agreed in April but was subject to shareholder approval and the absence of a better offer in the interim. The acquisition was funded with the proceeds of an offering of Second-Priority Senior Secured Notes due 2024 issued by an affiliate of Maxim Crane. Maxim will now begin integrating Coast into its own operations.
Maxim chief executive Bryan Carlisle said: “Coast Crane offers one of the most experienced teams of crane professionals in the region. Their state of the art fleet provides customers with a ‘best in class’ brand of products, parts, services and rental equipment. We are confident that the combination of Coast and Maxim will bring added value to our combined customer base, employees and the industry.”
Nick Matthews of Essex Rental added: “We believe that this transaction delivers the best current return for our shareholders and provides a good opportunity for our employees to work for a company positioned for growth due to its experienced management team, future business prospects and strong balance sheet.”