REIC gets private equity growth boost
By Murray Pollok06 January 2022
US private equity firm Kinderhook Industries, LLC has acquired rental consolidator Rental Equipment Investment Corporation (REIC), in conjunction with its founder and CEO Kevin Fitzgerald. The financials were not disclosed.
Founded in 2014 and based in Kalispell, Montana, REIC operates from 32 locations from the Upper Midwest to the Pacific Northwest. It has grown through multiple acquisitions.
Fitzgerald said the partnership would help REIC accelerate its organic growth and further penetrate underserved markets; “In addition, I’m very excited to pursue strategic add-on acquisitions and continue opening new specialty greenfield sites which will help grow our business and increase market share.”
Kinderhook is based in New York City and manages funds of more than US$4.7 billion. It has made over 300 investments since its founding in 2003.
Paul Cifelli, Managing Director at Kinderhook, said; “Kevin has successfully grown REIC into one of the largest regional rental equipment companies in seven years.
“REIC is a highly scalable, growth-oriented platform and we are thrilled to help facilitate the acceleration of the company’s already impressive growth.”
As part of the transaction, Kinderhook will add Chris Ragot to REIC’s board of directors. Ragot was previously Chairman of Utility One Source (now Custom Truck One Source), which is the largest rental and sales business in the utility equipment market.
Nate Druckenmiller, Vice President at Kinderhook, added that REIC had the reputation as “a consolidator of choice in the rental services industry. We believe that REIC’s complementary divisions, deep customer relationships and proven track record of success position the business to capitalise on numerous positive industry tailwinds.”
REIC’s fleet comprises aerials, earthmoving equipment, power, compressors, small equipment, and it has a specialty HVAC rentals business.