H&E Equipment Services (HEES) shares more than doubled in value intraday Tuesday after the company reached a deal to be acquired by United Rentals (URI) for $4.8 billion.

The purchase price equates to $92 per share, and H&E stock vaulted accordingly to $90.51 intraday Tuesday. Shares of United Rentals rose close to 4%. 

The combination of equipment renters expands United Rentals’ fleet by nearly 64,000 units and is expected to generate roughly $130 million in annual cost synergies within two years of the deal closing. The combined company’s equipment rental offerings will include power and HVAC, portable storage, tool solutions, fluid solutions, and more. 

H&E generated adjusted EBITDA of $696 million on revenue of $1.52 billion in the 12 months ended Sept. 30. The transaction, which also includes $1.4 billion of net debt, is expected to close in the first quarter of 2025, the company said.