Hertz Corp. is spinning off its Hertz Equipment Rental Corp. (HERC) as a separately traded entity that will remain one of the largest global equipment rental companies, the company announced.
HERC now maintains 335 branches in the U.S., Canada, France, Spain, China, and Saudi Arabia. The company also maintains several international franchises.
The company rents a broad range of equipment including aerial manlifts, air compressors and tools, earthmoving equipment, power generators, forklifts and material handling, pumps, trucks, and trailers.
HERC recorded $1.5 billion in revenue in 2013 with 38% from the construction market, 26% from industrial, and the remaining 36% from other markets including oil and gas, pump and power, government services, and the entertainment industry.
Mark Frissora, the chairman and chief executive of Hertz Corp., will remain in those roles for HERC. Hertz expects the separation to be formalized by early 2015.
The HERC unit maintains a supply contract for federal agencies through the General Services Administration (GSA), supplying gloves, shovels, power tools, and heavy equipment.