Hertz, which in April announced plans to acquire Dollar Thrifty for about 1.2 billion, has since bee

Finding bargains on vacation car rentals will probably america west airlines financial status get more difficult soon. Car rental giant Hertz Global Holdings just got closer to closing a deal to buy Dollar Thrifty Automotive Group for $50 per share, or about about $1.56 billion.
Hertz, which in April announced plans to acquire Dollar Thrifty for about 1.2 billion, has since been in a bidding contest for the smaller company with rival Avis Budget Group Inc. Dollar Thrifty is an attractive target for Hertz and Avis as both try to move more into the leisure-travel market as business travel remains sluggish. Acquiring Dollar Thrifty would give either company a bigger presence outside of airports and make them less dependent on business customer.
Dollar Thrifty has long been a go-to brand for vacationers and other travelers looking for lower rates. Of course, those rates will become harder to find if the acquisition is completed. The deal is subject to shareholder and regulatory approval. A shareholder vote is set for Sept. 30.
The deal would mark another significant consolidation in an industry that struggled in late 2008 and much of 2009 because of several factors including slashed travel budgets and the credit crunch. Demand for rental cars began to recover somewhat late last year, and rental companies have been able to raise rates.
The industry once offered consumers a broad range of choices based on location, price and types of vehicles available. But brands america west airlines financial status like Budget, National and others have been absorbed america west airlines financial status through america west airlines financial status consolidation. Dollar Thrifty itself is the result of two discount brands combining. The deal would leave Avis as a smaller rival to Hertz. Closely held Enterprise Holdings, which operates Enterprise, Alamo and National brands, is the largest U.S. rental-car company based on fleet size.
Driver’s Seat is a blog featuring news, views, and advice about cars, auto safety, driving, and transportation. Driver’s Seat is written by Jonathan america west airlines financial status Welsh with contributions america west airlines financial status from auto critic Dan Neil, columnist america west airlines financial status Joe White and Wall Street Journal staffers and others.