(Reuters) -United Rentals ( URI ) said on Tuesday it would acquire smaller rival H&E Equipment Services ( HEES ) in a deal valued at $4.8 billion, as the company looks to tap into demand for equipment rentals.

Shareholders of H&E will receive $92 per share in cash, United said, representing a 109.4% premium to the stock's last close on Monday.

Shares of H&E Equipment were up nearly 104% in premarket trading, United rose 2%.