NEW YORK, Feb. 27, 2017 /PRNewswire/ -- Sumitomo Corporation ("Sumitomo") announced today that it has acquired the remaining 20% interest in Sunstate Equipment Co., LLC ("Sunstate") through its subsidiary SMS International Corporation, making Sunstate a wholly owned company of Sumitomo Corporation Group.
Sunstate is the 7th largest equipment rental company in the United States and the 24th largest in the world. With its 40 years of industry experience, Sunstate has grown from a single Arizona location to over 60 branches in 9 states, employing nearly 1,600 individuals.
The United States is currently experiencing rapidly deteriorating infrastructure systems, for which repairs are estimated to exceed billions of dollars over the next 10 years. This in turn provides anticipated growth for the construction equipment rental industry, which already exceeds 30 billion dollars and is expected to continue to grow due to the demand for infrastructure projects.
Sumitomo became engaged with Sunstate in 2009 with its first investment in their Convertible Preferred Interests. As a minority shareholder, Sumitomo was focused on strengthening a partnership with Sunstate's management while gaining an understanding of the industry. This led to Sumitomo acquiring the controlling interest of Sunstate in 2012 by increasing its ownership of Common Membership Interest to 80%. Following the acquisition, Sunstate expanded its business and tripled sales from 2009.
Sumitomo looks forward to contributing to the further expansion of Sunstate and the US economy by involvement in infrastructure construction projects and by creating employment within this field.
About Sunstate Equipment Co., LLC
Sunstate Equipment provides construction, industrial and special event companies with top quality construction rental equipment and tools. Their reliable service and dedication to their customers continues to help them get their job done efficiently and safely. Sunstate currently has locations in California, Nevada, Utah, Colorado, Arizona, New Mexico, Oklahoma, Texas and Tennessee. For more information visit www.sunstateequip.com
About Sumitomo Corporation of Americas
Established in 1952 and headquartered in New York City, Sumitomo Corporation of Americas (SCOA) has 8 offices in major U.S. cities. SCOA is the largest subsidiary of Sumitomo Corporation, one of the world's leading traders of goods and services. As an integrated business enterprise, the firm has emerged as a major organizer of multination projects, an expediter of ideas, an important international investor and financier, and a powerful force for distribution of products and global communications through a network of offices worldwide. Its core business units include Tubular Products, Environment and Infrastructure, Steel and Non Ferrous Metals, Transportation and Construction Systems, Chemicals and Electronics, Real Estate, Mineral Resources and Energy, and Food.
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SOURCE Sumitomo Corporation Group