Wind Point Partners has acquired Kentucky-based American Trailer Rental Group, a provider of rental solutions to manufacturing, distribution and 3PL customers. No financial terms were disclosed. Antares Capital and Bain Capital Credit provided the financing for the deal.
Chicago, IL, June 2, 2021 – Wind Point Partners (“Wind Point”), a Chicago-based private equity firm, has acquired American Trailer Rental Group (“ATRG” or the “Company”), a Kentucky-based leading provider of trailer rental solutions to manufacturing, distribution and 3PL customers. The Company owns and manages a fleet of over 16,000 units including dry van trailers, containers, flatbeds, and chassis, operating via 19 branches throughout the Midwest, South and Southwest U.S. ATRG goes to market under five distinct brands, including Meisler, FITS, Fleet, Advantage, and Arizona Storage, providing customers with flexible trailer rental solutions to help manage inventory, reduce storage costs, and drive efficiencies across supply chains.
Wind Point is partnering with ATRG management, led by CEO John Brooks, and six executive advisors from within the firm’s network who bring significant operational and leadership expertise in transportation and logistics. The partnership will provide additional capital and strategic support to ATRG to enable further geographic expansion in robust manufacturing and warehousing markets through acquisitions and greenfield locations. Mr. Brooks and the entire ATRG management team will remain with the business and retain a meaningful ownership stake in the Company.
“John and the ATRG team have established a leading position in the storage and cartage segments of the trailer rental market, providing important solutions to customers across a wide variety of industries…we look forward to supporting the ATRG team as they continue to scale the business.”
“Wind Point’s extensive experience in transportation and logistics, broad executive network and highly collaborative approach to managing investments made them an excellent partner for our team,” said Mr. Brooks, CEO of ATRG. “We are poised to accelerate our growth trajectory and are excited to work with Wind Point to further expand our geographic footprint, aggressively increase our fleet size and maintain the exceptional level of service we provide to our customers.”
Mr. Brooks joined ATRG in 2017 and brings a wealth of experience in the equipment rental sector. Prior to ATRG, Mr. Brooks served as CFO of Nesco Specialty Rentals, a PE-backed rental provider of specialty equipment to the electric utility, telecom, and rail industries. Prior to Nesco, Mr. Brooks served as CFO of SENCO, a designer, manufacturer, and marketer of branded fastening tools, and as CFO of Kuhlman Electric, a manufacturer of high-quality transformers for the industrial and electric utility sectors. Since joining ATRG, Mr. Brooks has implemented robust operational and management systems and accelerated growth via seven acquisitions and four greenfield locations.
“ATRG operates in an attractive industry with tailwinds driven by increased supply chain complexity, continued growth in logistics outsourcing and e-commerce oriented demand. John and the ATRG team have established a leading position in the storage and cartage segments of the trailer rental market, providing important solutions to customers across a wide variety of industries,” noted Konrad Salaber, Managing Director at Wind Point. “ATRG is well-positioned to capitalize on continued market growth and strategic acquisition opportunities in what is a highly fragmented industry with a long tail of local and regional operators. We look forward to supporting the ATRG team as they continue to scale the business.”
Wind Point is an active investor in transportation, logistics, and route-based businesses, with select prior investments including STG Logistics, A&R Logistics, Dicom Transportation, Valicor Environmental Services, and AIR-serv. The firm’s executive network includes several industry professionals with significant operating experience in these areas, including six who worked alongside Wind Point in evaluating the ATRG business and have since joined the Board upon closing. Those executives include Tracy Leinbach and Greg Muldoon, both of whom are Wind Point Executive Advisor Partners (“EAPs”) and involved across several current and former Wind Point investments, as well as Kevin Shuba, Paul Svindland, Mark Holden and Jim Martell. The group brings more than 100 years of relevant industry experience to the ATRG partnership, including entrepreneurial, C-Suite and Board level roles held across various public and private organizations in the transportation, logistics, and route-based industries. Ms. Leinbach will serve as Board Chair and brings over 30 years of experience in the transportation and logistics industry, most recently as Executive Vice President of Fleet Management and CFO at Ryder Systems (NYSE: R), North America’s largest provider of fleet management and logistics solutions.
Financing for the transaction was provided by Antares Capital and Bain Capital Credit. Kirkland & Ellis served as legal counsel to Wind Point and KPMG provided transaction advisory services.