Benzinga | Sep 2, 2021 02:19PM EDT

Alta Expands Construction Equipment Business Through Gibson Machinery Acquisition

* Alta Equipment Group Inc (NYSE:ALTG) has entered into a definitive agreement to acquire Gibson Machinery, LLC, a privately held equipment distributor based in Oakwood Village, near Cleveland, Ohio. Terms of the deal will be disclosed upon closing.

* The family-owned Gibson Machinery offers heavy equipment product lines and specialty attachments, along with service, rentals, replacement parts, and equipment financing.

* This acquisition expands Alta's construction equipment footprint to 32 locations in eight states and adds several new original equipment manufacturing (OEM) partners.

* Gibson Machinery generated ~$19 million in revenue and had adjusted EBITDA of ~$3.2 million for the trailing twelve-month period ended June 2021.

* Alta Equipment held cash of $1.8 million as of June 30, 2021.

* Alta Equipment expects to close the deal in late Q3 or early Q4 of 2021.

* Yesterday, Alta Equipment announced the acquisition of Baron Industries, a privately held dock & door company based in Woburn, Massachusetts, for a purchase price of less than $2.0 million.

* Price Action: ALTG shares are trading lower by 0.23% at $13.02 on the last check Thursday.