Case Study
Compact Rentals
PROJECT DETAILS
Location: Calgary, AB
Industry: Construction Service and Supply
Value of Transaction: $6+M
True North M&A Successfully Advised the Shareholders of Compact Rentals on their Sale to a Multi-National Corporation
Compact Rentals has provided rental construction equipment and temporary fencing since 1980. They are known for quality equipment, having a large inventory, service excellence and location accessibility for rental needs across Alberta.
Highlights:
- Deal closed in approx 6 months
- Sold for higher than valuation range
- 100% cash at close
True North came highly recommended to Compact Rentals through a like minded business owner who was also in the process of selling their family company. From the first meeting, Compact Rentals conveyed a tight timeframe, and True North immediately started getting to work with an expedited strategic sales plan.
Within a short time, True North produced an engaging CIM and conducted a vast outreach to prospective buyers both across North America.. True North’s diligence paid off, and their proprietary process garnered multiple offers from a range of strategic buyers including a couple multinational firms.
True North assisted Compact Rentals in choosing the best offer, considering the price and terms of each LOI. Once the buyer was chosen, True North further improved the offer with their skilled negotiation tactics, and the deal was closed in approximately 6 months.
To add to the successful sale of the business, True North assisted Compact Rentals in drafting a favorable 15 year lease of the property, as the Shareholders of Compact Rentals wanted to maintain ownership of their real estate.
We thank Compact Rentals for their trust in True North.
Having True North in the middle of us and the buyer was very beneficial and helped immensely with pushing the deal along and keeping things on track. The confidence of having True North watching our back was priceless, our buyer even complained about how protective True North was of us – and that is a major compliment to the fact that they were truly working on our behalf. We are highly satisfied with our end outcome having received a higher value than we may have achieved had we tried this on our own. True North did an excellent job of creating some competition to achieve that higher value. We would strongly recommend using True North as an advisor to achieve the right results.
J. LaBoret
Former Owner of Compact Rentals