US private equity firm to buy United Rentals for 6.6 bln dlrs

0 Comments | AFP, July, 2007

WASHINGTON (AFP) — Equipment rental group United Rentals said Monday it had approved a takeover by affiliates of private equity giant Cerberus Capital Management for 6.6 billion dollars.

United Rentals said the cash deal also includes the assumption of 2.6 billion dollars in debt, but that the transaction still needs to be approved by the company's shareholders and regulators.

The company primarily rents out sturdy equipment to construction and industrial firms including utilities who require air compressors, generators, fork lifts and dump trucks among other equipment, but also serves homeowners.

Cerberus, whose chairman is former US Treasury secretary John Snow, is also vying to wrap up its acquisition of the Chrysler Group, the US arm of parent...