Another acquisition for Ritchie Bros.
Canadian equipment auctioneer Ritchie Bros. is to acquire the SmartEquip service platform in an all share purchase for around $175 million.
SmartEquip works with multiple manufacturers to provide rental companies with real time service and diagnostic support for each machine in their fleet by serial number, as well as the electronic one stop point for ordering replacement parts. The company supports in the region of $1 billion worth of transactions with more than 600 manufacturers, for fleet owners across North America, Europe, and the Asia Pacific, including Japan. It has 60 employees and will continue to operate as a standalone business and maintain its base Norwalk, Connecticut.
The move follows Ritchie’s acquisition last month of Euro Auctions, all of which is intended to increase expand the services it offers its customers as its geographic footprint. See: Ritchie Bros. to acquire Euro Auctions
Ritchie Bros chief executive Ann Fandozzi said: "This acquisition furthers our goal of providing the best experience for our customers as we continue our transition from a traditional auctioneer to a marketplace for insights, services, and transaction solutions for commercial assets. SmartEquip will enable us to offer asset specific, full lifecycle parts and service support on behalf of our dealer and OEM partners to our buyers."
SmartEquip's executive chairman Bryan Rich added: "Ritchie Bros. is a perfect partner for us, with over 60 years of experience and a global footprint. Through their global customer base, this merger will accelerate SmartEquip's ability to support its rapidly growing footprint across our joint global marketplaces and engaged customer base. At closing, the existing SmartEquip team, including all senior management, will transition over and participate in the next growth stage of the SmartEquip network."