Herc Holdings Inc. which operates as Herc Rentals Inc., announced it has entered a purchase agreement to acquire Toronto-based Rapid Equipment Rental Limited (Rapid Equipment). The transaction is subject to customary closing conditions with a plan to close in the fourth quarter of 2021. Terms were not disclosed.

Rapid Equipment, a full-service general equipment rental company founded in 2013, comprises approximately 110 employees and seven locations serving construction and industrial customers throughout the Greater Toronto Area (GTA) — one of the largest equipment rental markets in North America.

“I look forward to welcoming Rapid Equipment to Team Herc,” said Larry Silber, President and Chief Executive Officer. “Led by equipment rental veterans with substantial industry experience, Rapid Equipment has established a strong reputation throughout the GTA for exceptional customer service, top-quality equipment and operational excellence. Our combined teams and resources position Herc Rentals to be a preeminent equipment rental partner across the GTA.

“The addition of Rapid Equipment supports our long-term strategy to achieve greater density and scale in select urban markets across North America to better serve both our local and multi-geography customers. In particular, the GTA represents a strong growth opportunity with a potential market size exceeding $1 billion in equipment rental revenue,” he said. “We expect the acquisition to be accretive to earnings in the first year. We remain well-positioned to pursue growth through acquired operations, greenfield branches and investment in key fleet categories as we continue to seek improved scale, profitability and shareholder returns.”