MUNICH—ARRI announced today that it is selling its global equipment rental business in Europe, the United Kingdom, and North America to H2 Equity Partners. Illumination Dynamics—ARRI’s lighting and power equipment rental business—will remain part of ARRI and is not included in the transaction.
Coming several months after ARRI announced that it was being acquired by Riedel Communications, the ARRI said the divestiture “is a planned and significant element of ARRI’s long-term strategic development.”
ARRI said that a key rationale for the transaction is to resolve a structural conflict of interest between ARRI’s manufacturing business and its own rental business: as a manufacturer of camera and lighting technology, ARRI supplies customers and partners worldwide, some of whom compete with its rental activities.
Through this transaction, ARRI said it will sharpen its focus on the development, production and commercialization of innovative camera, lighting and software-based technologies, thereby strengthening its role as an independent and trusted technology partner to the global media and entertainment industry.
“This transaction is a milestone in ARRI’s strategic transformation and future positioning,” said Thomas Riedel, owner of ARRI as well as founder and owner of Riedel Communications and the Riedel Group. “It enables us to direct our investments even more specifically toward the further development of our technologies and new growth areas. At the same time, it allows the rental business to continue to develop independently and to unlock additional market potential.”
The management buy-out is led by ARRI Rental's existing UK-based leadership team of Dana Harrison, Russell Allen and Tamim Essaji, in partnership with H2 Equity Partners.
Dana Harrison and Andy Shipsides will continue their leadership responsibilities in the respective regions and will, together with their teams, ensure long-term customer relationships and operational continuity. Harrison will also serve as CEO of the global rental business.
