Loxam Managing Director Stephane Henon
Paris-based construction and civils equipment rental firm Loxam has taken a 25% stake in Brazilian rental equipment business Degraus.
Degraus, formed in 1987, is one of the South American country’s top five rental outfits, with a strong presence in Sao Paulo, Rio de Janeiro, Recife, Salvador and Porto Alere.
Degraus has 450 employees at its 20 branches where it handles around 300 types of machines.
The investment gives Loxam a presence in a fourteenth country: Loxam has a turnover of around €812 million from 628 branches globally, employing nearly 4,700 people.
Loxam chairman and chief executive Gerard Deprez said the deal creates significant growth potential. “Our business know-how as well as the financial resources through this investment will allow Degraus to pursue its development and to strengthen market share,” he said.
The founder of Degraus, Izaac Costa, will remain majority shareholder as well as chairman and chief executive.