Herc extends tender offer for $5.3 billion H&E deal

Image: Herc Rentals

Herc Rentals has extended the expiration date of its tender offer to acquire H&E Rentals until May 13, 2025, as it works to complete regulatory approvals and finalise the $5.3 billion transaction.

The offer, which was set to expire on April 29, now runs through one minute past 11:59 p.m. Eastern Time on May 13, unless further extended under the terms of the merger agreement.

Under the terms of the deal, Herc is offering H&E shareholders $78.75 in cash and 0.1287 shares of Herc common stock for each H&E share, representing a 14% premium over a previously announced $4.8 billion offer by United Rentals.

That bid was withdrawn after United declined to revise its proposal, citing “financial discipline.”

As of April 29, 2025, approximately 51.76% of H&E’s outstanding shares had been validly tendered, with an additional 1.25% submitted via guaranteed delivery procedures, according to Computershare Trust Company, the offer’s depository and paying agent.

The acquisition would combine Herc’s $3.5 billion annual revenue with H&E’s $1.5 billion operation, enhancing Herc’s position as the third-largest equipment rental company in North America, behind United Rentals and Sunbelt Rentals.

The deal also includes the assumption of $1.5 billion in H&E debt.

Herc President and CEO Larry Silber said the merger will generate immediate value for shareholders and create long-term upside by expanding geographic coverage, increasing fleet scale, and strengthening customer diversity.

Yesterday H&E said that it expected the transaction to close in mid-2025, subject to satisfaction of remaining closing conditions and regulatory approvals.