On the eve of a vote by shareholders of the Dollar Thrifty Automotive Group on a takeover by Hertz Global Holdings, the Avis Budget Group said on Wednesday that it would offer the one thing Dollar Thrifty had said was lacking in its rival bid: a breakup fee.
Reuters - Car rental company Hertz Global Holdings Inc said on Sunday Dollar Thrifty Automotive Group Inc has agreed to a sweetened $1.56 billion takeover offer, outdoing a rival bid from Avis Budget Group Inc .
NEW YORK (Reuters) - Car rental company Hertz Global Holdings Inc said on Sunday Dollar Thrifty Automotive Group Inc has agreed to a sweetened $1.56 billion takeover offer, outdoing a rival bid from Avis Budget Group Inc .
Car rental company Avis Budget Group Inc. will buy Zipcar Inc for about US$500-million, surpassing larger rivals Hertz Global Holdings Inc. and Enterprise Holdings Inc. to become the No.1 player in the fast-growing U.S. car-sharing market.
The offer of US$12.25 per share in cash represents a premium of 49% to Zipcar’s Monday close. Zipcar’s shares were up 48.8 percent at US$12.26 on the Nasdaq on Wednesday morning.
Avis Budget Group (CAR) said today it wants to make an acquisition offer for Dollar Thrifty Automotive Group (DTG) to rival Hertz Global Holdings (HTZ) offer, which Dollar Thrifty has already agreed to.
Avis released the contents of a letter from its CEO to Dollar Thrifty, in which Avis chairman and CEO Ronald Nelson said he was surprised to learn of Dollars agreement with Hertz, as he had been planning to meet with Dollar CEO Scott Thompson regarding a potential deal between their two companies.
The Avis Budget Group said on Monday that it may seek to beat Hertz Global Holdings' $1.2 billion takeover offer for the Dollar Thrifty Automotive Group, after what it says were ignored attempts to strike a deal.