Herc Holdings Inc. · NYSE:HRI
Herc — Merger or Acquisition (February 2025)
14 slides from Herc's merger presentation, Feb 18, 2025
Slide 1: Herc Rentals Acquisition of H&E Equipment Services
Herc Rentals Acquisition of H&E Equipment Services Scaling Herc’s Premier Platform and Accelerating Strategy for Industry Leading Growth and Superior Value Creation February 18, 2025 1
Slide 2: Forward-Looking Statements
Forward-Looking Statements Cautionary Note Regarding Forward Looking Statements This communication includes “forward-looking statements,” within the meaning of Section 21E of the Securities Exchange Form 10-K, Quarterly Reports on Form 10-Q and in the other filings with the SEC by each of the Compan
Slide 3: Scaling Herc's Premier Platform and Accelerating Strategy
Scaling Herc’s Premier Platform and Accelerating Strategy for Industry Leading Growth and Superior Value Creation • Immediately accelerates Herc’s proven strategy: substantially expanded footprint, increased density in key regions with economies of scale, geographic Attractive Pro Forma Financial Pr
Slide 4: Transaction Overview
Transaction Overview Providing H&E Shareholders with Immediate Premium Value, Upside Opportunity and Clear Path to Close • 75% cash / 25% stock: $78.75 in cash and 0.1287 shares of newly issued Herc stock • H&E shareholders to own 14.1% of combined company • Implied value of $104.89 per Herc share b
Slide 5: Herc is Making This Proposal from Position of Strength
Herc is Making This Proposal from Position of Strength Herc has Proven Experience Accelerates Existing Strategy for Industry Successfully Integrating Businesses Leading Growth and Superior Value Creation ~544% to Drive Value • Grow the Core • Allocate Capital Total Shareholder Invested $2+ billion i
Slide 6: H&E: High-Quality Rental Platform
H&E: High-Quality Rental Platform H&E Overview • A leading U.S. general rental company with a focus on heavy construction and industrial equipment • Attractive footprint that spans many high-growth regions, including the Gulf Coast, Southeast, Mid-Atlantic, Midwest, Southwest and the West • Young, p
Slide 7: Substantially Expanded Footprint, Increased Density in Key Regions
Substantially Expanded Footprint, Increased Density in Key Regions and Enhanced Geographic Diversification ~160 locations 453 locations A leading presence in 11 of the top 20 rental regions Improved urban density in Top 10 Rental MSA 7 of the top 10 rental regions HQ: Bonita Springs, FL HQ: Baton Ro
Slide 8: Clear Line of Sight to $300 Million of Incremental EBITDA
Clear Line of Sight to $300 Million of Incremental EBITDA ~$175 million of Adj. EBITDA1 from revenue ~$125 million of estimated run-rate cost synergies fully realized by end of year 3 synergies largely achieved by the end of year 2 Value-Added Offerings Other Solution-based selling, technology and s
Slide 9: Revenue Synergies Driven by Specialty Cross Selling
Revenue Synergies Driven by Specialty Cross Selling… Herc has a broad …And a track record of H&E provides specialty products growing its specialty substantial white space offering… offering across its to leverage this proven network expertise • Power Generation • Pump • Proven track record of • H&E
Slide 10: General Rental Opportunities
…General Rental Opportunities… Herc’s more expansive product breath combined with H&E’s expanded location network propels larger share of wallet across all customer accounts Herc offers: • 10x more category classes • Electric and hybrid equipment options • Technology-enabled rental products and solu
Slide 11: And Value-Added Offerings
…And Value-Added Offerings Extending Herc’s industry leading solution-based selling, technology capabilities and sales strategies to H&E’s diverse customer base • Innovative customer-facing technology • Proprietary rental system, which has applications including ProControl, Optimus and On the Go • C
Slide 12: Significant Value Creation Opportunity Through Re-Rating and Synergies
Significant Value Creation Opportunity Through Re-Rating and Synergies Value Creation Opportunity Meaningful Opportunity to Enhance Shareholder Value ▪ A ~$125 million run-rate cost synergies largely achieved by end of year two A 100% of Run-Rate Cost Synergies + B Illustrative % of Identified Reven
Slide 13: Scaling Herc's Premier Platform and Accelerating Strategy
Scaling Herc’s Premier Platform and Accelerating Strategy for Industry Leading Growth and Superior Value Creation Highly strategic acquisition that Joins respected companies High single digit accretive to expands footprint across the with a combined +120 years of Herc’s cash EPS in 2026, United Stat
Slide 14: Reconciliation of Net Income to Adjusted EBITDA
Reconciliation of Net Income to Adjusted EBITDA 14
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