Microlease-Electro Rent merger creates global rental firm

Microlease, the UK-based test equipment rental and selling business, is the target of an agreed takeover by US firm Electro Rent.

This represents a major shift in Europe’s equipment rental sector and creates a global player in Electro Rent, which itself was acquired by Platinum Equity in August.

Microlease became one of Europe’s largest rental firms when it acquired Livingston Hire a few years back.

Microlease CEO Nigel Brown, who will be CEO of the combined company said:

“Combined, we believe we can serve customers better through a significantly expanded equipment fleet and stronger geographical coverage, ensuring better availability levels and a higher level of technical service.”

The EMEA operations of the combined business will be headquartered in London.

The deal, which has been agreed with Microlease’s owner Lloyds Development Capital, is expected to close during Q1 2017. Financial terms were not disclosed.

“This is a transformational opportunity that puts the combined company in a better position to serve customers in a global market poised for significant growth,” said Platinum Equity Partner Louis Samson.