23 & Park, an investment firm comprised of Colombian and international executives, has completed the acquisition of rentandes, one of the leading companies in medium and long-term rental (Renting) of vehicles, trucks and yellow equipment in Colombia.
Simultaneously with the purchase, 23 & Park will make a capital injection and will work with the current team to support the growth and ongoing projects of the Company. The terms of the transaction were not disclosed.
With over 300 clients and offices in the main cities in Colombia, rentandes offers renting services to companies and individuals throughout the country to support their growth.
Alvaro H. Orbes, Managing Partner of 23 & Park highlighted that, within our group there is ample experience in the renting business in different parts of the world. Our task, together with the companys current team, is to apply that knowledge of best global practices, in rentandes. Additionally, Daniel Palacios, Managing Partner of 23 & Park highlighted some points that made the operation attractive to the group, “rentandes trajectory for more than 19 years as one of the leaders of the industry, the broad range of clients served, the low penetration of renting in the country and the necessary replacement of the automotive fleet and machinery in Colombia, are some of the reasons that made this opportunity attractive.”
In Colombia an increasing amount of companies are accessing renting services given that it allows them to: (i) rationalize the use of capital by not disbursing resources to acquire assets upfront; (ii) eliminate the administrative burden of maintaining and managing assets; and (iii) enjoy certain tax advantages. The companies that use this service sign an agreement to ˜rent a certain group of assets for a period between 3 and 5 years. At contract-end, the client can decide to return the assets or acquire them. In exchange for a monthly payment, the renting provider (rentandes) is responsible for the purchase, preparation, maintenance and other needs of the assets.
From Carlos E. G³mezs perspective, one of 23 & Parks investors and who will join the Board of Directors of rentandes, “The industry has a lot of potential in Colombia and rentandes is well positioned to exploit it because it has deep know-how and a strong position on which we can build.” Mr. G³mez has been board member of successful companies similar to rentandes in Mexico and Latin America.
Alejandro Trujillo, the current CEO and Founder of rentandes will assume the role of President, while Alvaro H. Orbes will join as CEO.
About 23 & Park
23 & Park is an investment partnership comprised of Colombian and international executives. It focuses on the active management of solvent small to medium-sized businesses with strong potential. For more information, visit www.23park.com.
Founded in 2000, rentandes is one of the leading companies in vehicle and heavy equipment renting services, long-term renting and other related services such as fleet management. It is based in Bogot¡ and currently has 7 regional offices in Colombia. For more information, visit www.rentandes.com.