Hertz acquires fleet leasing company
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Hertz has completed the acquisition of Donlen Corporation, the Chicago-based provider of fleet leasing and management services. The acquisition was funded by US$177 million in cash proceeds from Hertz and the assumption of US$770 million of Donlen’s fleet debt.
Mark P. Frissora, Chairman & Chief Executive Officer of Hertz, said; “The acquisition of Donlen is consistent with the evolution of Hertz’s asset-light, technology focused business model and is part of the company’s overall growth strategy to provide the most flexible transportation programs for corporate and retail customers. Integrating Donlen into the Hertz family of products gives us a yearly and multi-year offering that complements our current core competencies of hourly, daily and monthly car sharing and car rental options and provides the Company with a more stable revenue stream and new adjacent markets to leverage our existing business model.”
With more than 144,000 vehicles under lease and management, Donlen last year generated revenues of approximately US$350 million.
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