Ritchie Bros. Acquires Rouse Services



Ritchie Bros. Auctioneers and Rouse Services entered into a definitive agreement under which Ritchie Bros. will acquire Rouse Services for approximately $275 million. Completion of the acquisition is subject to customary closing conditions, including, among other conditions, the expiration or termination of the applicable waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended.

“Rouse offers a highly complementary suite of data and service products that will continue and accelerate our evolution from an auction company to a global, trusted marketplace and provider of services,” Ann Fandozzi, CEO of Ritchie Bros., said. “Rouse brings a strong reputation within the industrial equipment industry for their data integrity, reliability and strict confidentiality, and we look forward to continuing to build on these core values in the next chapter of their growth. By working together, we will be able to help customers better understand used equipment trends and how to use them to optimize fleet management decisions. Bringing Rouse into the Ritchie Bros. family of solutions increases connectivity and deepens our already strong relationships with fleet owners and asset-backed lenders.”

Rouse Services provides data intelligence and performance benchmarking solutions. Its subscription-based revenue is generated by three data-as-a-service (DaaS) solutions: rental analytics, equipment sales support and fleet appraisals. Rouse Services has approximately 60 employees and will continue to operate as-is and maintain its physical presence in Los Angeles for the foreseeable future.

“I am personally very excited to join the Ritchie Bros. executive team,” Gary McArdle, executive vice president and chief operating officer of Rouse Services, said. “We have spent decades building our reputation as a trusted partner in the industrial equipment industry. Opportunities to better serve our clients have always directed our growth and by joining with Ritchie Bros., we see tremendous potential to build on our foundation and deliver even more value to our industry partners.”

Under the terms of the transaction, Ritchie Bros. will acquire 100% of the equity of Rouse Services for approximately $250 million in cash and approximately $25 million in common stock of Ritchie Bros., subject to adjustment.

“Data and analytics are fundamental building blocks to deliver great customer experiences in today’s world,” Fandozzi said. “Combining our unique perspectives will enable us to build new and innovative ways to serve our customers. We look forward to welcoming all the employees of Rouse Services into the Ritchie Bros. family. Together we are stronger and will accomplish even greater things.”

RBC Capital Markets is serving as financial advisor to Ritchie Bros. and Dorsey & Whitney and Dechert are serving as legal advisors. Silvermark Partners is serving as financial advisor to Rouse Services and Manatt, Phelps & Phillips is serving as legal advisor.

Leave a comment

View Latest Digital Edition

Terry Mulreany
Subscriptions: 800 708 9373 x130
terry.mulreany@monitordaily.com
Susie Angelucci
Advertising: 484.459.3016
susie.angelucci@monitordaily.com

View Latest Digital Edition

Visit our sister website for news, information, exclusive articles,
deal tables and more on the asset-based lending, factoring,
and restructuring industries.
www.abfjournal.com