RB Global Ord Shs Stock Price, News & Analysis

On February 14-16, Ritchie Bros. held a successful auction in Houston, TX, attracting over 14,500 bidders for more than 6,500 items and generating a gross transaction value exceeding US$61 million. Approximately 87% of the equipment was sold to U.S. buyers, with 48% purchased by Texans. The auction featured a diverse range of assets, including transportation and construction equipment, all sold without minimum bids. Regional Sales Manager Chuck Roberson reported strong prices and high satisfaction among sellers, prompting interest in future events. Upcoming auctions include a Premier Global Auction in Orlando, FL, with over 13,000 items available.

Eminence Capital, a significant shareholder of Ritchie Bros Auctioneers (RBA), publicly announced its intention to vote against RBA's proposed $7.3 billion merger with IAA, Inc. Eminence highlights concerns over the transaction's strategic value, citing risks that outweigh potential benefits. They argue the merger lacks a strong logic due to limited synergies and significant differences between the companies. Additionally, they express skepticism about the deal’s ability to improve IAA’s competitive position and foresee a burden of risk for RBA shareholders. Since the announcement, RBA shares have underperformed the market by 8%, indicating investor apprehension.

Discerene Group LP, which holds approximately 3.6% of IAA's shares, announced its intention to vote against the revised sale of IAA to Ritchie Bros. Auctioneers (RBA). Discerene criticized RBA's revised offer of $44.40 per share as inadequate, claiming it's lower than previous offers and undervalues IAA’s strong financial prospects. The letter outlines concerns over IAA's flawed sale process, poor governance, and lack of strategic rationale behind the sale. Discerene believes IAA's independent growth potential is significant, particularly with an estimated EBITDA growth and market share gains expected over the coming years.

Ritchie Bros. has announced a Special Meeting of Shareholders on March 14, 2023, to vote on the acquisition of IAA, which is expected to create substantial value, potentially adding up to $76 per share. CEO Ann Fandozzi highlighted the support from key shareholders, including a $500 million investment from Starboard Value LP. The acquisition aims to accelerate Ritchie Bros.' transformation into a global marketplace and enhance growth opportunities. The integration of IAA's yard footprint is anticipated to lower costs and improve returns. The amended agreement with IAA reflects shareholder feedback, ensuring greater value for Ritchie Bros. shareholders.

Ritchie Bros. Auctioneers announced preliminary unaudited financial results for Q4 and full year 2022. The Company reported an estimated gross transaction value of $6.0 billion and total revenue of approximately $1.7 billion for the year. Net income is projected to be between $317 million and $320 million, with adjusted EBITDA between $461 million and $465 million. For Q4, expected GTV is around $1.5 billion with total revenue of about $444 million and net income between $42 million and $45 million. The results reflect solid execution and a focus on customer service, with expectations of closing the IAA transaction soon.

Ancora Holdings Group, owning 4% of IAA, Inc. and 0.5% of Ritchie Bros., asserts that the recently revised terms of the proposed IAA-Ritchie Bros. merger present shareholders with a compelling long-term value opportunity. The group responds to criticisms from Luxor Capital Group, labeling them as misleading and self-serving. Ancora emphasizes the necessity of the merger and believes it to be beneficial for stakeholders involved. Investors are encouraged to review Ancora's detailed presentation for further insights.

Ritchie Bros is set to showcase its updated inventory management system at CONEXPO-CON/AGG in Las Vegas this March. The company will demonstrate a full suite of services aimed at improving equipment lifecycle management. Key features include a new version of the inventory system powered by Rouse Services, transportation solutions, and financing options. Ritchie Bros. CEO Ann Fandozzi expressed excitement about collaborating with industry partners and highlighted a special simulcast auction during the event. The company aims to enhance customer transaction experiences with integrated insights and services.

The February 2023 Orlando auction, conducted by Ritchie Bros, is set to be a major event showcasing over 10,000 items from more than 800 owners. Running from February 20 to 24, this auction features extensive heavy equipment including 575+ excavators and 370+ truck tractors. Bidders can participate in person, online, or via mobile app. The event aims to foster relationships with customers while offering a diverse selection of equipment. Virtual inspection capabilities have been enhanced with 360-degree videos for online bidders. For more details, visit rbauction.com/Orlando2023.

Ritchie Bros (NYSE: RBA) announced it will release its fourth quarter financial results on February 21, 2023, after market close. A conference call will follow at 5:00 p.m. ET that day for analysts and investors to discuss the results. Participants can join via specific toll-free numbers for North America, the UK, and Canada. The company emphasizes its role in asset management and disposition across various sectors, including construction and energy. Interested parties can listen to a live webcast on Ritchie Bros.'s Investor Relations website. A replay will be available post-call.