20.05.2007

H&E to acquire Burress

H&E Equipment Services (formerly Head & Engquist) of Baton Rouge has announced that it has reached a definitive agreement to acquire J.W. Burress, the Roanoke, Virginia based distribution company.

Burress covers the mid-Atlantic markets from 12 locations and is one of the oldest Grove distributors in North America. It also handles Manitowoc and National Crane

The acquisition is subject to the completion of Burress’ 2006 audit, obtaining third-party consents from certain equipment manufacturers and vendors and receipt of financing all by July 31st.

Burress handles Doosan, Hitachi and JCB-Vibromax among others.

The estimated purchase price without Hitachi representation will be around $109 million, subject to adjustments, plus about $4 million in assumed debt.

An additional $12.9 will be added to the transaction if Burress manages to retain Hitachi distribution. Burress had revenues of around $178 million in 2006, with the sale, rental and service of
Hitachi products accounting for about 28 percent of that.

H&E is also one of Grove’s longest serving distributors and also handles Manitowoc, National Crane and JLG aerial lifts. It is also a Komatsu excavator and backhoe distributor.