Deal to deliver greater value for companies, clients and manufacturers
Industry providers Hugg & Hall Equipment Company and Scott Equipment Company, LLC have entered into a unique strategic agreement to trade Volvo and Toyota manufacturer territories in Louisiana and Arkansas in order to better align product offerings with each company’s business model and target markets. The agreement, effective today, is designed to expand the companies’ core operations, streamline manufacturer-dealer engagements and increase value to the companies’ clients through enhanced focus on primary business lines.
Under the terms of the landmark agreement, Hugg & Hall is transferring its Volvo Construction Equipment territory in Arkansas to Scott Equipment; in return, Scott Equipment is transferring its Toyota Material Handling territory in Louisiana to Hugg & Hall.
Hugg & Hall’s business focus includes sales, rental, parts and service of material handling and light construction equipment. The agreement calls for Hugg & Hall to operate out of current New Orleans and Baton Rouge Material Handling locations. Operations in Broussard, Lake Charles, Alexandria, Shreveport and Monroe will be absorbed into existing Hugg & Hall facilities.
Scott’s business focus includes sales, rental, parts and service of heavy-duty construction equipment and cranes. Under the terms of the deal announced today, Scott will absorb the Hugg & Hall Volvo operations into Scott’s existing Arkansas facilities.
“This is a transformative agreement that enables Hugg & Hall to expand our industry-leading position in the forklift market, sharpen our manufacturer relationships and deliver greater value to clients by enhancing the core capabilities we provide throughout our operating territory,” said Hugg & Hall President John Hugg. “Volvo Construction Equipment and Toyota Material Handling have both lent their full support to this innovative arrangement and are optimistic the new structure will result in growth across each brand.”
In order to expand their presence in Louisiana, Hugg & Hall intends to retain Scott’s material handling employees within the territory. As part of the deal, Scott Equipment will absorb Volvo-specific Hugg & Hall team members into its current Arkansas operations.
“We have enjoyed being a Volvo dealer for 33 years and are confident the talented team at Scott will continue to represent the brand well in Arkansas,” Hugg said. “At the same time, we are excited to grow our already strong relationship with Toyota, adding new territory in Louisiana that provides a valuable opportunity to advance our long-term strategic objectives.”
