Clairvest Group has sold its portfolio company, CRS Contractors Rental Supply (CRS), a provider of construction rental equipment and related merchandise, to Sunbelt Rentals, a division of Ashtead Group.
CRS has 28 locations in Ontario, more than 400 employees, and is headquartered west of Toronto in Kitchener, ON (www.contractorsrentalsupply.ca).
Clairvest acquired CRS in February 2013 and over the term of the investment realized an internal rate of return of 31%. “Our successful partnership with CRS is a terrific example of Clairvest’s investment approach. The leadership team was heavily invested and this culture of ownership created a competitive advantage for CRS,” said Mitch Green, Managing Director at Clairvest. “We are proud of the results generated by the entire CRS team and are excited that the organization will continue to thrive with Sunbelt.”
Clairvest invests in mid-market companies, principally in North America, across a range of industries. The firm looks to invest from $15 million to $100 million in equity capital in companies with EBITDAs from $5 million to $50 million. Desired ownership percentages range from 20% to 80%. The firm is based in Toronto (www.clairvest.com).
“By investing alongside the CRS leadership team as equity partners, Clairvest preserved the service first mentality that has always differentiated CRS in the market,” said Steve Fay, Chairman of CRS. “Clairvest’s contributions included the development of a strong platform for safety, finance, technology, and talent management. They also emphasized a culture of aggressive investment and high return on capital for our rental fleet. I am very proud of what we have achieved together.”
Sunbelt Rentals is a provider of construction and industrial equipment rental equipment serving the United States and Canada with 629 stores in major metropolitan areas from Washington DC, and Baltimore on the Atlantic Coast through Miami, Tampa and Orlando in Florida to Los Angeles and Seattle on the West Coast. In 2014, Sunbelt entered Canada and, prior to the buy of CRS, had 17 stores in the provinces of British Colombia and Saskatchewan (www.sunbeltrentals.com). Sunbelt is a subsidiary of publicly-traded Ashtead Group (LON: AHT), an industrial equipment rental company headquartered in London, UK (www.ashtead-group.com).
Colorado Springs-based investment bank Catalyst Strategic Advisors was the financial advisor to CRS. Catalyst specializes in transactions in the equipment rental industry (www.catalyststrategicadvisors.com).
© 2017 Private Equity Professional | August 4, 2017
