Sunbelt ties up 40m deal for Northridge

Sunbelt Rentals, Ashtead's US-based plant and tool hire business, has acquired Northridge Equipment Services in a 39.7m deal.

Northridge is one of California's leading rental firms, with depots in Los Angeles, Bakersfield, Lompoc, Fresno and Palmdale.

In the year to 30 September 2005, Northridge reported total revenues of 22m and a profit before tax of 3.6m.
This deal brings the number of stores operated by Sunbelt in the central and southern California markets to 10.

Since the start of the current financial year, Sunbelt has acquired a total of 15 US stores, whose annual revenues exceed 30m, while opening a further three depots on greenfield sites.

Ashtead chief executive George Burnett said: "This acquisition strengthens Sunbelt's presence in California and continues our strategy of focusing on clusters of conveniently located stores.

"This year Sunbelt has invested 57m on acquisitions that extend the company's presence in attractive US markets," he added.