McGrath RentCorp Acquires Modular Kitchen Rental Company
McGrath RentCorp has acquired Kitchens To Go, enhancing its Mobile Modular division's offerings in flexible foodservice facilities. This strategic acquisition aims to provide temporary and permanent solutions across various sectors, including education and healthcare. The deal, funded through borrowings from a revolving credit agreement, is not expected to significantly affect the financial outlook for 2021. The CEO expressed optimism about leveraging synergies and the deep industry knowledge of Kitchens To Go's team.
- Acquisition expands Mobile Modular's product offerings in foodservice solutions.
- Enhances capabilities for customers in education, commercial, healthcare, and hospitality sectors.
- Synergies anticipated from Kitchens To Go's industry expertise.
- None.
McGrath RentCorp today announced it has acquired Kitchens To Go, a leader in both interim and permanent modular solutions for foodservice providers that require flexible facilities to continue or expand operations. The purchase will allow the Mobile Modular division of McGrath RentCorp to provide temporary and customized permanent foodservice facilities on a national level.
The purchase of Kitchens To Go fits into Mobile Modular’s product offering to expand capabilities to customers in education, commercial, healthcare, and hospitality industries that need flexible and comprehensive food service capabilities during expansions, renovations, new construction and disaster recovery.
“Our acquisition of Kitchens To Go is highly complementary to our modular building rental business,” said Joe Hanna President and CEO of McGrath RentCorp. “As we expand our ability to provide solutions to our customers, there are opportunities for us to serve businesses that have a temporary facilities need with their food service projects. I am pleased to welcome the team at Kitchens To Go as they have deep knowledge of the industry and a wonderful culture that will fit well with us. We now have another product line that is a logical adjacency to our core business and we look forward to growing it together.”
The transaction was funded with borrowings from McGrath RentCorp’s revolving credit agreement. Financial terms of the transaction were not disclosed. At this time the impact of the acquisition is not expected to materially impact 2021 financial outlook.
ABOUT MCGRATH RENTCORP
Founded in 1979, McGrath RentCorp (Nasdaq: MGRC) is a diversified business-to-business rental company providing modular buildings, electronic test equipment, portable storage and tank containment solutions across the United States and other select North American regions. The Company’s rental operations consist of four divisions: Mobile Modular rents and sells modular buildings to fulfill customers’ temporary and permanent classroom and office space needs; TRS-RenTelco rents and sells electronic test equipment; Adler Tank Rentals rents and sells containment solutions for hazardous and nonhazardous liquids and solids; and Mobile Modular Portable Storage provides portable storage rental solutions. For more information on McGrath RentCorp and its operating units, please visit our websites:
Corporate – www.mgrc.com
Modular Buildings – www.mobilemodular.com
Electronic Test Equipment – www.trsrentelco.com
Tanks and Boxes – www.adlertankrentals.com
Portable Storage – www.mobilemodularcontainers.com
School Facilities Manufacturing – www.enviroplex.com
ABOUT KITCHENS TO GO
Interim and Factory Built Foodservice Facilities – www.kitchenstogo.com
View source version on businesswire.com: https://www.businesswire.com/news/home/20210409005427/en/
FAQ
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