NESCO sold to Energy Capital Partners
By Murray Pollok07 January 2014
NESCO, one of the largest utility equipment rental businesses in the US, has been sold by Platinum Equity to another private equity firm, Energy Capital Partners, for an undisclosed sum.
NESCO, which rents insulated aerial platforms and other utility equipment throughout the US, has been owned by Platinum for little over two years.
During Platinum’s ownership NESCO made several significant acquisitions, including the 250 unit utility rental fleet of Penske Truck Leasing Co in 2012 and last year the more significant deal to acquire one of its largest competitors, Utility Equipment Leasing Corp (UELC).
Energy Capital Partners has offices in Short Hills, New Jersey and San Diego, California, and is focused on investing in North America’s energy sector, with involvement in power transmission lines, oil and gas and power generation.
Platinum may be exiting the utility equipment rental sector but it remains very engaged with the North American rental industry. In December it acquired Volvo Rents for US$800 million and it also owns US crane rental company Maxim Crane Works.
Louis Samson, the partner at Platinum Equity who led the NESCO acquisition, said; “We are proud of the way NESCO has grown and evolved over the past two years as part of the Platinum Equity portfolio.
"We made significant capital investments and partnered with the management team to drive substantial growth and operational improvements. The business is well positioned for continued success under Lee Jacobson's leadership and the ownership of ECP."