Sunbelt acquires Pacific High Reach and Equipment Services
By Lindsey Anderson29 November 2011
Sunbelt Rentals has purchased all of the assets of California-based Pacific High Reach and Equipment Services, Inc. for $17.4 million under Section 363 of the Bankruptcy Code. This includes approximately 1,200 pieces of rental equipment, from aerial lifts to generators, and roughly 35 vehicles. The deal was approved in bankruptcy court on Nov. 15 and closed Nov. 18.
Pacific High Reach, founded in June 2001, was a construction equipment rental company headquartered in Orange, CA. The company specialized in high-reach boom and forklift vehicles and was a major supplier to decorating companies at all southern California convention centers.
The company successfully expanded its operations through 2008, according to its investment banker FocalPoint Securities, but was negatively impacted by the downturn in the economy in 2009 and early 2010. "The economic downturn led to substantial pricing pressure as demand for the company's services declined, spurring the company's decision to file bankruptcy and hire FocalPoint to explore strategic alternatives," FocalPoint said in a statement.
Sunbelt Rentals ranked third on Access, Lift & Handlers' annual Aerials20 listing. The list ranks North America's rental companies by the number of aerials in fleets. In 2011, Sunbelt had an estimated 31,000 pieces of access equipment.