Does The Hertz Takeover Of Dollar Rent A Car Have One More Twist In It?

Hi all,

I’m pretty sure in my entire life, including school, I have never written as much on one topic as I have about the Hertz buyout of Dtag (Dollar Rent A Car and Thrifty Car Rental) and just when I thought the material had dried up it looks like there could be one final twist in the saga.

The twist? Well, Hertz filed documents to extend the expiry date of its cash offer which was due to expire yesterday, the new expiry date is now November 5th 2012.

Reason’s cited for this in a few media publications are firstly that perhaps some Dollar share holders believe that they can get Hertz to go even further in their bid and perhaps even get $100 per share, unlikely in my opinion.

The second reason is the delay in getting FTC approval, Hertz must have been pretty confident that the deal would go through however I’m lead to believe that the FTC’s call on this deal is a lot closer than it first appeared.

Although Hertz have agreed to sell off their low cost brand Advantage Rent A Car, the FTC are still concerned that even by selling Advantage the potential buyer will still not be able to compete with the proposed big 3 (Hertz/Dollar/Thrifty, Enterprise, Alamo, National and Avis/Budget). The sale of Dollar/Thrifty will pretty much end consolidation of large USA car hire companies within Northern America so the FTC are not going to be rushed in to the decision.

It is believed that at present the FTC will agree 3/2 to approve the deal, however until the papers are signed could we be in for one last game ending twist?

regards,

James

 car hire USA

Would You Take A Discount For A Car Hire With Advertising On It?

Hi all,

Everybody likes a discount and companies like novel ways of advertising, so…

Budget Rent A Car out of Atlanta Airport and Wrap Media Group have teamed up to provide both.

David Berke COO of Wrap Media Group said

Like many other entrepreneurial ventures, this was conceived on a cocktail napkin in a restaurant. We’ve developed a new and unique way for brands to interact with their consumer audiences. The ability to integrate wrapped vehicles, product placement and online interaction into one solution is unparalleled

The USA car rental agency has rolled out the pilot program strictly in Atlanta on  25 rental cars—15 full size vehicles and 10 mid-sized SUVs—these vehicles have been covered, or “wrapped,” with ads for Sheets Brand Energy Strips.

Although the exact promotional rates for the ad-shrouded vehicle vary, according to the Associated Press, one Budget renter was able to get quite a deal. Instead of the usual $400 local rental fee for an SUV for four days, she signed up for an ad-wrapped SUV for a mere $88. (please note this is a local rental and does not include the insurances provided by usrentacar.co.uk)

So this begs the question…

Would you take a discount for a vehicle “wrapped” in Adverts?

Regards,

James,

 car hire USA


Bad Behavior has blocked 723 access attempts in the last 7 days.