Alta Equipment Group has entered an agreement to acquire NY-based Hilo Equipment & Services for an undisclosed sum. The deal will add three depots to Alta’s 43-location network that spans 10 U.S. states.The acquisition comes mere months following Alta’s acquisition of Flagler CE Holdings, LLC and Liftech Equipment Companies, Inc. in early 2020.
Ryan Greenawalt, chief executive officer of Alta, said, “Hilo aligns perfectly with our growth strategy by expanding our distribution footprint with best-in-class OEMs and adding valuable and talented employees who will help drive our “Customers for Life” mantra. Hilo’s strategic presence in the New York City area gives us a major market foothold and strengthens our overall coverage of the northeastern United States. We are delighted to welcome the Hilo team to the Alta family.”
Hilo generated approximately $50 million in revenue in fiscal year 2019 and had adjusted EBITDA of about $3 million, according to reports. Alta’s 2019 net revenues topped $557.4 million, led by its acquisition of Northland Industrial Truck Co. in 2019. Alta’s first quarter financial results, announced in mid-May, saw net revenues of $180.5 million compared to last year’s $102.3 million. Rental revenues for Q1 increased more than 48 percent for the company.
“I’m extremely proud of the incredible response to the Covid-19 pandemic from Alta’s one team culture,” Greenawalt said. ”Our first quarter financial results demonstrate the strength of our business model in terms of organic growth driven by our parts sales and service and the contributions of acquisitions. Our strategy to expand into new geographic markets and diversify our customer base has served us well during the current economic slowdown.”
Alta was formed more than 35 years ago and has diversified and expanded its portfolio through M&A activity. It sells, rents and provides parts and service support for lift trucks and access equipment, cranes, earthmoving equipment and other industrial and construction equipment.