23.03.2022

Kiloutou moves into Denmark

French international rental company Kiloutou is to acquire Denmark's largest rental company GSV, from private equity firm Catacap, which owns an 89 percent stake, with the senior managers holding the balance.

No details of the transaction have been disclosed, but it is Kiloutou's largest acquisition to date, with estimates valuing the deal at around €300 million, which will be funded from cash reserves and other lines of finance, with a new public fund raising planed which will give Kiloutou and GSV employees the opportunity to invest in the business. The initial indications are that Kiloutou’s current controlling shareholders HLD and Dentressangle which currently own around 68 percent of the group’s equity, will not necessarily invest, thus possibly slightly diluting their holding. We understand that GSV senior managers will remain invested.

Established in 1964 GSV (Grunnet, Svendsen and Vaskær) has been built up through a chain of acquisitions, and in 2015 was acquired, along with Pitzner, by private equity fund Catacap, with managers Henrik Christensen and Dan Vorsholt taking stakes. The two operations were merged and then in 2018 link[https://vertikal.net/en/news/story/31913/ramirent-to-quit-denmark[(GSV acquired Ramirent's Danish operations) which were absorbed into the GSV network.

Today the GSV business operates from 20 locations with 22,000 pieces equipment which includes aerial lifts – booms, scissors, spider lifts, truck mounts, trailer lifts and low level platforms, along with telehandlers – both fixed frame and 360 degree and mast climbers. Other products include earthmoving and compaction equipment as well as modular buildings and site cabins, with 485 employees and revenues in the region of €130 million. It is expected to close in mid April.

Kiloutou says that the GSV management team fully supports the transaction and will continue to manage the business, with chief executive Dan Vorsholt also taking an executive position on the Kiloutou’s executive committee. The plan is to look at further greenfield expansion, while broadening the GSV rental fleet. The GSV brand will remain, given how well established it is in Denmark.

Kiloutou chief executive Olivier Colleau said: ”GSV and Kiloutou share many of the same values, organised around the development of their people, a high level of customer satisfaction and an equipment range compatible with the ecological transition. I am very much looking forward to working closely with the talented and experienced management team and employees of GSV, and I welcome them to the Kiloutou Group.”

Dan Vorsholt added: ”I am delighted and proud to announce the acquisition of our company by Kiloutou. We share mutual expertise and a common ambition to continuously improve the services we provide to our customers. We have embarked on a journey to help construction in Denmark become more sustainable, and with Kiloutou’s financial strength GSV will accelerate its investment in environmentally sustainable equipment. I am glad to continue serving GSV within a larger group.”

Vertikal Comment

This is quite a bold move for Kiloutou, which will almost certainly take group revenues up over €1 billion, compared to last year’s revenues of €793 million. The combination will firmly place Kiloutou within reach of European rental market leadership.