Alta Equipment Group expands into Canada with acquisition of Ault Industries
As part of the acquisition, Alta will expand into two of Canada's largest markets – Toronto and Montreal – and will assume Ault's exclusive dealer agreement with McCloskey. Ault's brand name, employees, and management team will remain in place after the acquisition is closed.
The acquisition was completed at $36 million, consisting of $23.2 million cash at close, a $2.2 million seller note, and $10.6 million worth of Alta's common stock. These stocks will be issued at $13 per share, equating to 818,473 shares vesting annually over a five-year period.
"The acquisition of Ault represents Alta's first investment in Canada for our growing construction segment. We are extremely excited to partner with the Ault team as they have built a high-performing equipment dealership in the aggregate and mining space, a growing end market in their region and for Alta," said Ryan Greenawalt, chief executive officer of Alta. "In addition to entering the major construction markets of Toronto and Montreal, we also eagerly embrace a new relationship with McCloskey, a market-leading OEM in the crushing and screening product category. We extend a warm welcome to the Ault team as they become part of the Alta family."