May 27, 2022
Kalispell, MT– Rental Equipment Investment Corp. ("REIC"), a portfolio company of Kinderhook Industries, LLC ("Kinderhook"), announced today the acquisition of Cahill Services, LLC ("Cahill"). Cahill represents REIC's second add-on acquisition under Kinderhook's ownership and the Company's 14th since inception. Financial terms of the transaction were not disclosed.
Cahill is a leading provider of specialty rental solutions for high-demand, critical applications across infrastructure, construction, and industrial maintenance markets. Founded in 2015 and headquartered in Livonia, Michigan, Cahill operates four service centers in Canada and two service centers in the U.S. Cahill is one of the largest "pure-play" specialty rental service providers of critical climate control and lighting equipment including proprietary flameless heaters and hybrid light towers. REIC’s acquisition of Cahill represents a unique opportunity to add a growing, differentiated specialty rental model that leverages both proprietary technology and local-market expertise to provide critical specialty rental solutions.
"We are excited to welcome the Cahill team to REIC", said Kevin Fitzgerald, Chief Executive Officer of REIC. "Cahill's patented JetHeat is the HVAC industry's premier flameless heater, and a unique product offering that we are excited to roll out throughout our fleet. The JetHeat helps customers achieve fuel savings, which in turn generates significant cost savings over the duration of a project."
Dennis Haller, Chief Executive Officer of Cahill, added, "My team is thrilled about the opportunity to join REIC’s specialty rental division. Cahill has experienced tremendous growth in the past twenty-four months and will now have access to the additional resources of REIC to scale our business and continue capturing market share."
"The acquisition of Cahill furthers REIC’s mission of becoming a national specialty rental provider and results in 12 standalone specialty rental locations across North America", said Paul Cifelli, Managing Director at Kinderhook. "We are eager to partner with Cahill’s seasoned management team who have deep sector expertise and a long history of growing businesses in specialty rental."
"Cahill’s built a strong foundation in the specialty rental market industry and will add new geographies and products to REIC's existing fleet," said Nate Druckenmiller, Vice President at Kinderhook. "Kinderhook and REIC look forward to leveraging the capabilities of the combined businesses to accelerate growth."
Kirkland & Ellis LLP served as legal counsel to Kinderhook. Prestwick Partners served as the Kinderhook Industries, LLC 505 Fifth Avenue, 25th Floor New York, New York 10017 exclusive financial advisor and Winston & Strawn LLP acted as legal advisor to Cahill. Financing for the transaction was provided by a PNC Capital Markets bank syndicate, which included Flagstar Bank, Axos Bank, BancAlliance, Banc Hapoalim, First Merchants Bank, MUFG Union Bank and Stifel Bank & Trust.
Founded in 2003, Kinderhook Industries, LLC is a private investment firm that manages over $5.2 billion of committed capital. We have made in excess of 300 investments and follow-on acquisitions since inception. Kinderhook’s investment philosophy is predicated on matching unique, growthoriented investment opportunities with exceptional financial expertise and our proprietary network of operating partners. Our focus is on middle market businesses with defensible niche market positioning in the healthcare services, environmental / business services, and automotive / light manufacturing sectors. We have a track record of successfully and consistently building industry leaders.
For more information, please visit: www.kinderhook.com
Founded in 2014 and headquartered in Kalispell, MT, REIC is a premier, super-regional rental equipment services platform. REIC offers a broad selection of general and specialty rental equipment. The Company’s general rental fleet includes aerial, earthmoving, power, compression and other small equipment pieces, while the specialty rental segment is focused on HVAC products. In addition to its Kalispell headquarters, REIC serves its customers out of a strategic footprint of 33 locations stretching from the Pacific Northwest to the Upper East Coast.
For more information please visit: https://www.reicorporation.com/
Founded in 2015 and headquartered in Livonia, MI, Cahill is a leading provider of specialty rental solutions for high-demand, critical applications across infrastructure, construction, and industrial maintenance markets. The Company is a provider of critical climate control and lighting equipment including patented flameless heaters and hybrid light towers. Cahill operates from four service centers in Canada and two service centers in the U.S.
For more information please visit: https://www.cahillservices.com/