Herc Rentals completes spin-off
By Helen Wright01 July 2016
Hertz Equipment Rental (HERC)’s separation from its car rental parent Hertz has been completed, with both companies now listed as independent entities on the New York Stock Exchange.
The company’s common stock began trading on 1 July. Herc is a full-line equipment-rental firm with approximately 280 company-operated branches in North America, more than 4,600 employees and 2015 revenues of nearly US$1.7 billion (€1.5 billion).
Hertz Rental Car Holding Company has changed its name to Hertz Global Holdings and also began trading in New York.
“We are thrilled to begin the next chapter in the history of our company,” said HERC president and CEO Larry Silber.
“We are strategically positioned to generate above-market growth with significant opportunities for operational and financial improvement. As an independent company, Herc Rentals now has the financial and operational flexibility to pursue strategies that are specific to the equipment rental business.
“With focused resources, industry experience across the leadership team, premium products and services across a broad array of industries and end-use markets, and the support of our dedicated employees, we are positioned to provide even better service and overall value for our customers and to bring enhanced value to our shareholders.”
New product lines
Mr Silber added, “We will continue to expand our operations and to invest in all areas of our business, including new product lines such as ProContractor ToolsTM and ProTruckTM line of commercial vehicles, to complement our large selection of premium general equipment products.
“In addition, our new ProSolutionsTM business provides specialty equipment, technical expertise, and full-service, on-site support to solve our customers’ toughest challenges.
“We are also advancing processes and tools designed to drive continuous improvement across our company and to provide a higher level of service for our customers.
"Most notably, our enterprise-wide “Herc Way” operating model ensures a consistent branch-to-branch approach to managing, servicing and repairing our fleet and rapidly gets equipment ready to rent, which will greatly improve our opportunities to serve more customers.
“We are excited to shape our future as a customer-focused and operationally excellent business serving diverse markets,” Mr Silber said.
“I’m also pleased to note that our first day as an independent company coincides with the launch of several major technology platforms, including our new website and mobile app.
"The mobile app sets new technology and user-experience standards for the equipment rental industry and will continue to evolve to include tools and features designed to improve our customers’ experience with HERC Rentals.”