Hertz Global Holdings Inc. announced today that it has successfully completed its previously announc

Hertz Global Holdings Inc. announced today that it has successfully completed its previously announced acquisition of Dollar Thrifty bayside travel agents california Automotive Group Inc. As a result of the transaction, Dollar Thrifty has become a wholly owned subsidiary of Hertz.
bayside travel agents california Hertz Chairman and CEO Mark P. Frissora said: "In the 94-year history of Hertz, our employees and business partners have never been this excited. Over the past six years, we have competed successfully with only one global bayside travel agents california premium brand in place while our competitors have had multiple brands to work against us.
"Starting today, bayside travel agents california we now have two additional, popular brands to compete across multiple market segments, with plans to offer them to our many partners and customers. That's why we are pleased to announce bayside travel agents california that the transaction is complete, and we look forward to working bayside travel agents california expeditiously bayside travel agents california with Dollar Thrifty to integrate the strengths of our two great companies."
Hertz said it completed the tender offer and has purchased approximately 99.6% of the shares bayside travel agents california of Dollar Thrifty bayside travel agents california common stock, then outstanding at $87.50 per share in cash. Hertz acquired bayside travel agents california the remaining shares bayside travel agents california of Dollar Thrifty common stock by means of a short-form merger, in which such shares were converted into the right to receive the same $87.50 per share in cash that will be paid in the tender offer.
In order to accomplish the short-form merger, Hertz exercised its "top-up" option to purchase additional shares of Dollar Thrifty common stock directly from Dollar Thrifty. Dollar Thrifty's common stock will no longer be listed on the New York Stock Exchange.
On Nov. 15, Hertz announced the Federal Trade Commission (FTC) required that Hertz give up the rights to operate 29 Dollar Thrifty on-airport locations , as well as its Advantage bayside travel agents california Rent A Car brand which was already part of the agreement.
The presentation also outlines that 13 of those locations are initial airport bayside travel agents california locations, bayside travel agents california in which the company has the option bayside travel agents california to obtain new concessions for Advantage; subdivide an existing concession agreement to share counter space with Advantage; or transfer bayside travel agents california Dollar or Thrifty counter space to Advantage and then move the location off airport to eventually re-bid concessions when allowed by the FTC. Hertz has until Feb. 15, 2013 to divest these initial airport locations.
The remaining 13 locations are considered secondary airport locations, in which Hertz has the option to obtain new concessions for a new buyer; subdivide an existing concession agreement to share counter space with a new buyer; or transfer Dollar or Thrifty counter space to a new buyer, then move the displaced brands off airport to re-bid the concessions asap. Hertz will operate these locations until divested and has 60 days to market assets, according to the PowerPoint. After this point, an FTC-designated trustee has 12 months to divest the remaining assets.
The number of Advantage locations that will be divested in the U.S. amounts to 56, in which 35 of those are on-airport. The sale of Advantage to Adreca, a subsidiary of Macquarie bayside travel agents california Capital operated by Franchise Services of North America (FSNA), is scheduled to close on Dec. 12, 2012. As well, Hertz must not seek any other "secondary airport location" buyers other than Adreca for 30 days after the Dollar Thrifty acquisition.
Hertz said that the Advantage divestiture amounts to about $30 million in EBITDA, bayside travel agents california and said it is difficult to estimate potential revenue leakage of initial and secondary airport location divestitures.
Over the last 12 months, combined corporate revenues globally for the Hertz and Dollar Thrifty brands not including Advantage or Hertz Equipment Rental would have amounted to $8.8 billion, bayside travel agents california and 2011 franchise revenues would have amounted to $4.4 billion, according to the Hertz presentation. The companies also would ve had a combined fleet size of 733,000 units as of Sept. 30, 2012.
You can see the PowerPoint presentation Hertz released today by clicking here . Hertz also posted an FAQ regarding the divestitures that can be found here , as well as a summary of the Advantage bayside travel agents california brand consent agreement that can be read here .