Algeco Scotsman Global S.a R. L. (ALGSCO)

General

We provide an overview of Algeco Scotsman S.a R.L (ALGSCO)’s 1Q16 earnings. Revenue of $344.3 million declined 2.5%, as higher leasing & services revenues in U.S and Europe were offset by lower Asia Pacific and Canada, though lower SG&A and higher margins in the remote accommodations business drove improvement in adjusted EBITDA. Leverage remained steady at 7.4x LTM EBITDA, while interest coverage was steady at 1.7x. The Merger of ALGSCO’s North American modular space leasing business with ModSpace is proceeding – the Company is talking to investors, targeting an end of 3Q16 close.