Loxam announces the acquisition of Motormac Rental and strenghtens its presence in Brazil
Degraus Andaimes Máquinas e Equipamentos para Construção Civil S.A. (“Loxam Degraus”), a subsidiary of the Loxam Group (“Loxam”) announces that it has entered into an agreement with the Velloso and Solheid families with respect to the acquisition of Vellopar Participações Ltda., SPP Participações Ltda. and TPA Participações Ltda., thereby giving full control of Motormac Rental Locação Equipamentos S.A. (“Motormac Rental”).
Established in 2007, Motormac Rental has become a major player in the equipment rental market in the South of Brazil, focusing on powered access, power generation and lighting towers equipment ranges. Headquartered in Porto Alegre, the company operates nine branches across the Rio Grande do Sul, Paraná, Santa Catarina and São Paulo states, and employs approximately 170 people. Through this acquisition, Loxam enters into the dynamic southern states of the country, and further consolidates its presence on the Brazilian equipment rental market. With a combined network of 27 branches, this transaction enables Loxam to double its revenue in the country. The Velloso and Solheid families will from now on focus resources on their historical dealership activities, and will further develop new businesses.
The completion of the transaction, which is subject to the satisfaction of certain conditions, is expected to take place in the coming weeks.
Simone Pitten Velloso, Managing Director of Motormac Rental, commented: “We are very proud of what we have built with Motormac Rental, reaching the leading market position in southern Brazil, achieved through intense work and the development of a high level of credibility with its customers and employees. The companies are united by strong cultural synergies, and Loxam will strongly contribute to the growth of Motormac Rental by maintaining the reliability and the key ethical values that have always guided our company. From now on, our efforts will focus on distribution of equipments and renewable energies.”
Guilherme Boog, Managing Director of Loxam Degraus, who will assume the leadership of combined operations following the transition period, stated: “I am very pleased to welcome Motormac Rental within the Loxam Group. This transaction demonstrates Loxam’s strategy to become a leading national player in Brazil. The strong geographical complement and the competence of the team are a very good fit to our operations, and Loxam will benefit from Motormac Rental’ strong local anchor. I look forward to welcoming our new team members upon the closing of the acquisition.”
Gérard Déprez, President of Loxam, added: “The acquisition of Motormac Rental, which will be financed through Loxam’s own resources, demonstrates the Group’s commitment to continue its development in Brazil, a buoyant market with significant growth potential. Loxam is always pleased to welcome new colleagues, with whom to share mutual expertise and common ambition to continuously improve the services we provide to our customers.”
The Velloso and Solheid families have been advised by Planimec (legal advisor). Caravel Corporate Finance and DDSA (De Luca, Derenusson, Schuttoff & Advogados) provided respectively financial and legal advise to Loxam, and Mazars acted as financial and tax due diligence advisor.
INVESTOR CONTACTS
| LOXAM
Patrick Bourmaud / Emmanuel Leblanc +33 (0)158 440 400 |
FTI Consulting
Cosme Julien-Madoni / Emily Oliver +33 (0)147 036 819 loxam@fticonsulting.com |
