WillScot Terminates McGrath Merger, Focuses on $1B Growth Opportunities

By Tamara Parker • Wednesday, September 18 15:12 • Permanent Link

WillScot Holdings Corporation ("WillScot" or the "Company") has terminated its previously announced merger with McGrath RentCorp ("McGrath") due to the inability to clear the necessary regulatory requirements for the transaction. Despite this setback, the company is focused on executing $1 billion of idiosyncratic growth opportunities and has increased its share repurchase authorization to $1 billion.

WillScot's Board of Directors has increased the existing share repurchase program to $1 billion, aiming to deploy the repurchase authorization thoughtfully while funding organic investments in the business and pursuing smart tuck-in acquisitions. The company has returned over $2 billion of capital to shareholders and achieved nearly a 25% reduction in its economic share count.

The company's CEO, Brad Soultz, expressed confidence in the company's strategy, highlighting opportunities to reinvest in the business to deliver sustainable growth and returns over time. WillScot aims to improve efficiency and profitability across its core commercial and operational capabilities, with commercial and operational initiatives representing over $1 billion of prospective Adjusted EBITDA growth potential.

As a trusted partner with nearly 80 years of history, WillScot remains focused on executing its growth strategy and capital allocation, aiming to compound returns for shareholders over time. The company's comprehensive range of products includes modular office complexes, mobile offices, classrooms, temporary restrooms, portable storage containers, protective buildings, climate-controlled units, and clearspan structures, as well as a curated selection of furnishings, appliances, and other supplementary services.

Headquartered in Phoenix, Arizona, WillScot operates from a network of approximately 260 branch locations and additional drop lots across the United States, Canada, and Mexico. As a result of these announcements, the company's shares have moved -1.4% on the market, and are now trading at a price of $39.61. For more information, read the company's full 8-K submission here.

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