Friday roundup: Cost of sustainability | Sunbelt’s specialty move | Rental mergers

Photo: JU.STOCKER via Adobe Stock

Sustainability and the energy transition are two topics that generate plenty of conversation in the construction and equipment rental industries.

That conversation continued in the week that was Aug. 8-14, 2024, with the Boels Rental Construction Index survey, carried out by Markteffect, finding that 57% of 404 Dutch construction professionals believe the cost of making construction sustainable outweighs the impact on revenues.

It’s a stark reminder that despite efforts, many believe more needs to be done to narrow the gap between the cost implications of creating a sustainable rental business and ensuring profits are protected.

However, that sentiment is somewhat split in the survey, with 54% of responses saying that enough is being done to make construction a sustainable industry.

The topic of sustainability also featured in the news that Sunbelt Rentals in the UK is to open a new flagship facility for its film and TV business.

Sunbelt said the 180,000sqft facility, based in Wembley just outside of central London, will be “the epicentre” for its range of sustainable net-zero and low-carbon equipment solutions and will feature clean energy and sustainable location services.

It added that the facility will ensure customers receive “everything they need with unmatched efficiency and sustainability at the core of their offering.”

In other news, a merger between US-based rental companies Synergy Equipment and Opifex Enterprises was announced.

The deal will see Avance Investment Management, a private invester that first invested in Synergy in 2022, acquire Opifex.

It will also create the largest independent equipment rental company in the markets of Florida and Texas in the process.

The deal, which is part of a plan from Avance and Synergy to accelerate growth across the southeastern US, is said to mark the largest acquisition completed by Synergy and Avance.

Elsewhere in the US, H&E Rentals (formely H&E Equipment Services) has continued its expansion plans with the opening of a new depot in Missouri.

The opening of the branch, which comes weeks after the company opened its first location in Iowa, marks its fourth location in the state. 

In OEM news, China-based access equipment manufacturer Sinoboom held a groundbreaking ceremony at Silao, Mexico, for its new factory.

Invited guests and Sinoboom Mexico team break ground. Photo: Sinoboom

The factory will cover a total area of 186,667m square and has been designed for intelligent manufacturing, featuring automated equipment for processes such as welding, painting and assembly, and smart monitoring systems to enable streamlined production.

Green Xu, Sinoboom Director, said that the factory was a “crucial step in our mission to be a globally respected leader in the intelligent equipment manufacturing industry.”

The company estimates that, by 2028, the annual output will reach 20,000 units.

In Australia,  France-based OEM Manitou has reported a positive half year, set against a slower than expected increase in US production, and says the performance will not be repeated in the rest of the year.

Group sales were stable at €1.4 billion, amounting to a 0.4% increase on the first six months in 2023, while operating income saw a big rise of 44.7% to €127.5 million, comparted to the same period in 2023.

Michel Denis, President & CEO, said, “The group closes a very good half-year in a context of contrasting activity and outlook. [This was] driven by a stronger than expected momentum in Southern Europe, growth in Europe offset the decline in North America.

“Our ambitions for further growth in North America have been compromised by a lack of operational fluidity and by a much slower than expected ramp-up of our US industrial capacities, both of which we are gradually rectifying.”