McGrath RentCorp surges on $3.8 bln Willscot Mobile Mini buyout

Mcgrath Rentcorp

29/01/2024 12:27

** Shares of McGrath RentCorp  MGRC.O  up 9.2% to $122
premarket after peer Willscot Mobile Mini says it will acquire
the rental company
    ** Willscot Mobile Mini  WSC.O  down about 3% before the
bell
    **  The cash-and-stock deal, valued at $3.8 bln, includes
about $800 mln in debt and at a premium of 10.1% to McGrath's
closing price on Friday
    ** The deal is expected to close in Q2 this year
    ** MGRC shareholders will receive either $123 in cash for
each share or 2.8211 shares of WillScot Mobile Mini
    ** The deal would allow Willscot Mobile Mini to capitalize
on growing business demand for rental units
    ** McGrath RentCorp has a market cap of $2.74 bln - LSEG
data
    ** BofA Securities as financial adviser to WillScot, and
Goldman Sachs was McGrath RentCorp's financial adviser
    ** As of the last close, MCRG is down 6.5%, while it rose
21.1% in 2023 

 (Reporting by Pranav Kashyap in Bengaluru)
 ((Pranav.Kashyap@thomsonreuters.com;))