Byrne Equipment sold to Saudi car rental company
25 March 2014
Saudi Arabian car rental and leasing company Hanco has acquired Byrne Equipment Rental, one of the largest rental businesses in the Middle East.
Hanaco has acquired Byrne from Havenvest Private Equity Middle East and HSBC Bank Middle East for US$163 million. The deal includes Byrne’s sister division, Spacemaker, a portable accommodation sales and rental business.
Hanco has acquired 75% of Byrne with the Venture Capital Bank acquiring the other 25%.
Byrne is one of the top 100 equipment rental companies in the world and probably the second largest in the Middle East, after Zahid Tractor’s rental operation. It has 450 employees and 13 offices in Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the United Arab Emirates.
Hamad S Al Sulaiman, CEO of Hanco, said: “The acquisition gives a strong impetus to Hanco’s aspirations to be the leader in the MENA [Middle East and North Africa] region’s asset rental and lease market.
“Byrne’s current GCC [Gulf Cooperation Council] market presence and planned expansion dovetails well with our own regional expansion plans, making it an exciting acquisition for us. The company’s robust infrastructure, strong management team and talent significantly add to the value we gain from the transaction.
“Following the transaction we aim to be the leader in the GCC for rental and lease of mechanical assets with a combined asset base of close to 30000 units. We hope to take Byrne into a new growth trajectory and build on its exceptional track record.
"Synergies between Byrne’s and our other businesses will make Hanco a powerful force in the equipment rental market,” said Mr Al Sulaiman.
Hanco was established in 1976 and its main business is leasing, car rental and fleet management. It has a fleet of more than 20000 vehicles and five regional offices, 130 outlets and 14 workshops in Saudi Arabia.