Hirepool tipped for float

Hirepool is mulling a sharemarket float as its owners gear up to sell the hire equipment company.

Goldman Sachs JBWere New Zealand private equity head Paul Chrystall said a float was an option, along with a trade sale.

Goldman's Hauraki Private Equity No 1 Fund owns 51 per cent, with the rest owned by listed company Mainfreight 24.5 per cent and Hunter Powell Investments, owned by Hirepool managing director Tenby Powell and his wife, Sharon Hunter.

Hirepool was bought from former listed transport company Owens Group for $43.5 million three years ago. The owners have appointed Goldman's investment banking arm to sell the business.

The Dominion Post quoted a market source as saying the initial public offering could raise $180m to $200m.

An information memorandum would go out to potential buyers at the end of this month.

Mr Chrystall said Hirepool's profitability had more than doubled since 2003 and its branch and business unit network had trebled.

In 2004, Hirepool bought Auckland-based Hire King from under the nose of listed rival operator Hirequip. At that time, Mr Powell said Hirepool had to get national branch coverage before it could contemplate a public listing.

- NZPA