United Rentals, Inc. (NYSE: URI) has successfully completed the acquisition of leading matting solution providers Yak Access, LLC, Yak Mat, LLC, and New South Access & Environmental Solutions, LLC, collectively known as “Yak.”
The deal, valued at approximately $1.1 billion in cash, was finalized with funding sourced from newly issued senior unsecured notes and the company’s Asset-Based Lending (ABL) facility.
Yak, renowned for its extensive fleet of around 600,000 mats, caters to a diverse range of applications in construction and maintenance, repair, and operations (MRO).
With a strong presence in the utility and midstream sectors, Yak has demonstrated robust financial performance, generating $171 million in adjusted EBITDA from $353 million in adjusted revenue for the year ending December 31, 2023.
Matthew Flannery, CEO of United Rentals, expressed enthusiasm about the acquisition, stating, “We are thrilled to integrate Yak into our family. This move not only enhances our growth capabilities by adding a premier matting solutions provider to our portfolio but also reinforces our commitment to delivering comprehensive services to our customers. This strategic alignment is key to driving long-term shareholder value.”
United Rentals anticipates revising its financial outlook for 2024 to incorporate the newly combined operations, with an update expected alongside the release of its first-quarter financial results in April.
As the world’s largest equipment rental company, United Rentals boasts an expansive network of 1,504 rental locations across North America, Europe, Australia, and New Zealand. Employing roughly 26,300 people, the company serves a wide array of clients, including those in construction, industry, utilities, municipalities, and the residential sector.
With a rental fleet encompassing approximately 4,800 types of equipment valued at $20.66 billion, United Rentals continues to solidify its position as a leader in the rental industry, as evidenced by its inclusion in the Standard & Poor’s 500 Index, the Barron’s 400 Index, and the Russell 3000 Index®.
Headquartered in Stamford, Connecticut, United Rentals remains committed to growth and operational excellence.
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