ENTREC to buy Rain Coast Cranes in $15-million deal
Acquisition worth $10-million in cash plus 4.4-million ENTREC shares, company announced
Spruce Grove, Alta.—Suburban Edmonton-based ENTREC has entered into a letter of intent with Rain Coast Cranes & Equipment, Inc., to buy the B.C. firm for $15.2-million in cash and stocks.
Expected to close Oct. 1, 2012, the deal is worth $10million in cash—less any outstanding debt—plus 4.4-million ENTREC shares.
Shares were trading around $1.20 when the deal was announced.
“We are very excited about our merger with ENTREC as our combined crane fleets will allow us to serve the growing demand for our services from our customers,” Rain Coast founder and president Milt Lindsay said in a release.
With locations in Kitimat and Prince George, B.C., Rain Coast has been providing crane services for over 25 years to customers throughout the province.
Rain Coast’s equipment fleet includes approximately 20 cranes, including carry deck, boom truck, rough terrain, all terrain and hydraulic truck mounted cranes.
The equipment fleet also includes several power units and trailers used to support its crane operations.
Closing of the deal is subject to regulatory approval.