I Squared Capital, an infrastructure investment manager, signed a definitive agreement, through its ISQ Global Infrastructure Fund III, to acquire Rentco, a transport equipment leasing and rental company in Australia.

I Squared Capital committed a further A$300 million ($200.65 million) to promote Rentco’s growth across Australia and its ability to pursue new trailer leasing opportunities. Rentco will also have relationships with I Squared’s global leasing platforms, including FlexiVan, TIP Trailer Services and Star Leasing. Following the transaction, I Squared Capital’s global transport and logistics portfolio will have more than 264,000 trailers or chassis and 14,423 workshops with 3,700 employees in more than 20 countries.

With depots in all mainland states of Australia, Rentco has relationships with Tier-1 transport and logistics providers. The company also has a customer base across groceries, durable goods, agriculture, mining and e-commerce. Rentco’s leadership team will remain with the company.

Rentco is part of I Squared Capital’s strategy of expanding its presence in Australia. Its other portfolio companies in the country include Clean Energy Fuels Australia, a Western Australia-based industrial decarbonization platform supporting off-grid miners and remote communities in reducing their carbon footprints, and Soilco, an organic waste processor generating soil health products and supporting the circular economy along Australia’s east coast.