H&E takes ‘final step’ towards rental
20 December 2022
H&E Equipment Services has agreed to sell its Komatsu distribution business in Louisiana to Waukesha-Pearce Industries (WPI), the Houston, Texas-based company that has interests in construction equipment and power.
The deal is a “final step” in H&E’s shift to become a pure equipment rental company and follows the previous sale of both its crane business and Arkansas earthmoving operation. The financial terms have not been disclosed.
The transaction includes the distribution rights for Komatsu earthmoving equipment in Louisiana and southwestern Arkansas, along with a distribution facility in Kenner, Louisiana. WPI will also take over the lease on H&E’s distribution facility in Bossier City, Louisiana.
H&E will retain ownership of its rental fleet located at the remaining seven rental branches in Louisiana.
Brad Barber, CEO of H&E, said; “With the sale of our Komatsu earthmoving distributorship in the state of Louisiana, we are effectively completing our transformation to a pure-play rental business.
“This final step will allow us to sharpen our focus on the higher margin rental business as we continue our evaluation of strategic-growth opportunities in the equipment rental industry.”
Founded in 1924 in Texas and now being run by the fourth generation of the Pearce family, WPI operates separate divisions for construction and energy.
Its construction business sells equipment in Texas, Louisiana and Southern Arkansas, including brands such as Komatsu, Takeuchi, Bomag, Sennebogen and NPK.
The energy services division operates throughout the USA and specialises in power generation, gas compression and drilling services.