Herc’s acquisition of H&E moves a step closer

Herc Rentals equipment being delivered.

Herc Holdings Inc. has made changes to its existing credit agreement to help finalise its acquisition of H&E Equipment Services, Inc.

The acquisition, first announced in February, will see Herc take full ownership of H&E Equipment Services.

To support this, Herc worked with Bank of America and its lenders to update the terms of a loan agreement originally set in 2019 and previously revised in 2022 and 2024.

The latest changes allow H&E’s assets to be included as part of the agreement, which it said would ensure a smoother transition.

The adjustment, approved on March 11, 2025, also ensures Herc has the necessary financial structure in place to complete the deal.

The changes officially take effect once all required parties have signed. Herc confirmed that all necessary approvals have been obtained and that the revised agreement is legally binding.

No further financial details or expected closing dates for the acquisition have been disclosed.

Herc’s agreement to acquire H&E replaced United Rental’s $4.8 billion bid, which was accpeted in January.

However, exersised its right to up the bid as part of the “go-shop” provision included in H&E’s agreement with United.

The deal will combine Herc’s $3.5 billion annual revenue business with H&E’s $1.5 billion operation, bolstering Herc’s position as number three in the North American market behind United Rentals and Sunbelt Rentals.

Click here to read  Jeff Eisenberg’s break down of the numbers, the risks, and what the mega-deal means for the US rental market.