14.09.2016

Maxim gets Essex Crane assets

We now have confirmation that the core fleet of US based crawler crane supplier, Essex Crane Rental has been sold to Maxim Crane Works, along with three trading locations that it owned for a total of $75 million.

The sale follows the foreclosure proceedings instigated by Wells Fargo Capital Finance Essex Crane still needs to sell further assets and then wind down the business, which has effectively ceased trading.

Sister company Coast Crane has entered into a Third Amendment to its Restated Credit Agreement with Wells Fargo Bank, effectively waiving previously disclosed defaults. The Amendment provides Coast Crane with a $2 million, 12 month, non-interest bearing unsecured subordinated promissory note to Essex Crane in settlement of intercompany transfers, and provides the up to $1 million for Coast Crane, to purchase some remaining cranes from Essex.

Essex/Coast chief executive Nick Matthews said: “The sale and subsequent clarity it provided at Essex Crane, along with the waiver of the default under the Coast Crane Credit Facility were important steps toward moving forward. We appreciate the patience of our shareholders, customers and employees and are eager to focus all of our efforts on creating shareholder value.”

Maxim Crane has not only taken over the three Essex locations and most of its useable crane fleet, but has also opened two other new locations,, adding five new branches in: Alabaster, Alabama, Kansas City, Kansas, Arcola, Texas, Tampa, Florida and the Seattle, Washington area, toits network. The company now operated 2,500 cranes from 46 locations.

Chief executive Bryan Carlisle said: "We are excited to continue our expansion into these markets as well as adding the former Essex core fleet to Maxim Crane's national fleet of equipment. The company is committed to strengthening its position as a true coast-to-coast lifting solutions provider to all of our customers. These new locations enable us to offer full service operations in areas that we have previously covered on a project basis”

Chief operating officer Frank Bardonaro added: "We are continuously improving our fleet mix, geographic coverage and team to meet the growing demands of our customers. The recent addition of AmQuip Crane, Crane Rental Corp. and now the former Essex core fleet provides Maxim Crane with an unprecedented geographic footprint, one-stop-shop capabilities, and the best talent available in the industry. The significant addition to our National Crawler Fleet further ensures that we can provide our customers with every type of crane needed, anywhere in the USA. Our strategy and results continue to reinforce our commitment to safety, service and profitable growth,"