Busy, Busy: United Rentals Buys Cummins Rental Gen-Sets
By Mike Osenga23 August 2017
It has been a busy week for United Rentals, Inc. A few days after announcing it will acquire Neff Corp. and its rental fleet for $1.3 billion, the Stamford, Conn. company said it has acquired the power equipment assets, primarily mobile rental generator sets, from Cummins Inc. Terms and price were not announced.
The company will start serving the needs of former Cummins rental customers, and has made its newly acquired rental equipment available immediately, United Rentals said.
The acquisition involves Cummins mobile rental generator fleet, which ranges from 150 kW to 2 MW in output. To maintain customer and fleet continuity, a small number of Cummins employees in the U.S. and Canada have joined United Rentals.
In its announcement, Cummins said “after a comprehensive evaluation of our business landscape Cummins said it is selling its North American rental business assets to United Rentals.”
Cummins will continue to manufacture, service and support new power generation equipment for rental markets.
Paul McDonnell, United Rentals senior vice president – sales and specialty operations, said, “We’re continuing to realize strong demand for power solutions across North America. This strategic expansion of our fleet ensures greater availability and a larger customer service organization.”
“We believe this move will benefit our customers and both companies,” said Tony Satterthwaite, Cummins Inc. Distribution Business president. “Customers will have access to United Rentals’ extensive rental fleet and Cummins will place a greater degree of focus on delivering the highest quality products and support to our customer base.”
United Rentals Power & HVAC provides power and HVAC products and solutions across North America through 58 locations. The company provides custom and turnkey solutions for commercial, industrial and government customers.
Cummins said beginning August 18, 2017, most existing contracts will continue to be managed by Cummins until the contract expires or the end of the year, whichever comes first. United Rentals will assume management of most contracts that extend beyond December 31, 2017.