KBS - Equipment-as-a-Service - Market Insight

PORTFOLIO DIVERSIFICATION Trade buyers pursue acquisitions to broaden their equipment and service offerings. By adding complementary products, they can serve a wider customer base. Moreover, acquirers gain access to new technology and capabilities to strengthen their existing offering. Firms look to obtain innovative technology, digital platforms and sustainable equipment e.g. solar powered lighting towers and hydrogen generators. GEOGRAPHIC EXPANSION Many consolidators are motivated to enter new regions or strengthen their presence in key markets. Acquiring a regional player is often the fastest way to gain market share in a target location. For example, UK-based Vp plc’s purchase of Charleville Plant Hire gave a pathway into the Irish market. Cross-border deals of this nature constitute approximately 48% of European rental M&A, a strategy designed to achieve multinational scale.