Phoenix, Arizona-based WillScot Holdings Corporation (WillScot) announced today that it is abandoning its proposed acquisition of McGrath RentCorp (McGrath). Under the merger agreement disclosed on January 29, 2024, WillScot had agreed to acquire McGrath, a business-to-business rental company based in Livermore, California, for $3.8 billion. Both companies are major players in the modular and portable storage rental industry across the United States.
On February 22, 2024, McGrath announced that both it and WillScot had received second requests for additional information from the Federal Trade Commission (FTC) as part of the agency’s review of the proposed acquisition.
In response to WillScot’s decision to abandon the merger, FTC Bureau of Competition Director Henry Liu issued a statement:
“Strong competition in the markets for modular and portable storage solutions is essential to ensuring low prices and high levels of product quality and customer service for businesses and school districts nationwide. The FTC is pleased that WillScot has announced that it is terminating its proposed deal to acquire McGrath RentCorp in the face of a potential Commission challenge. FTC staff worked tirelessly to investigate the potential impacts of the proposed acquisition and found that customers in the construction, retail, education, and many other industries will benefit from continued competition between these two companies in markets across the country.”
The Federal Trade Commission works to promote competition and protect consumers. The FTC advises that it will never demand money, make threats, tell you to transfer money, or promise you a prize. More information about how competition benefits consumers or filing an antitrust complaint can be found on their website. For updates and resources, follow the FTC on social media or subscribe to press releases.
###
