Hirepool plans NZX listing - report

Equipment rental company Hirepool is said to be planning an initial public offering on the NZX within the next few months.

Hirepool, which is majority owned by Australian private equity firm Next Capital, has hired Deutsche Bank/Craigs Investment Partners, Macquarie Capital and UBS to manage the float, according to Australian Financial Review sources.

The company is benefiting from the Christchurch rebuild and rebound in Auckland construction and is tipped to list with a market capitalisation of about $300 million, the AFR says.

Last year Hirepool bought rival Hirequip out of receivership in a bid to get greater exposure to the heavy construction sector as the Christchurch rebuild starts hitting its stride.

At the time Hirepool said the deal would give it a "meaningful presence in the high value heavy and building segments", an area it is not really exposed to. Its existing customers are largely small and medium construction businesses which it targets with specialist equipment, it says.

The company pointed to the Christchurch earthquakes as a "catalyst for growth" and led to new entrants into the market and expansion by existing players.

Hirequip's parent shareholding companies Pacific Equipment Solutions, PES Finance and Hire Equipment Group were placed in receivership in July 2013, and came just a month after boss Rob Nichols was quoted as saying the company could seek a listing on the NZX as earnings recovered.

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