Brazil-based Mills is set to acquire Next Rental Locações for R$180 million (US$33.14 million).
The investment in Next Rental, a subsidiary of Grupo Pesa, which has been a Caterpillar company in southern Brazil for more than 70 years, is being made by Mills subsidiary Mills Pesados. The deal also includes Linha Amarela Rental, which is part of the group.
Headquartered in Curitiba, the capital of Paraná state, with another branch in Betim, Minas Gerais, Next Rental has a fleet of 738 units of earth moving equipment, trucks, forklifts, generators and aerial platforms, along with 210 employees.
The company operates in more than 14 Brazilian states and rents to the civil construction, industrial, road, mining, forestry and agricultural sectors.
The acquisition enhances Mills’ presence in the equipment rental market, while diversifying its areas of operation, said the company.
The completion of the transaction is subject to the approval of the Brazilian Antitrust Authority (CADE), among a range of other bodies.