“We expect that we will be given access to all of the due diligence information made available to Hertz and access to Dollar Thrifty management,” Avis CEO Ronald Nelson said in a letter to Dollar Thrifty cited by Autonews. “We are proceeding on the assumption that this confidentiality agreement is identical to the one signed by Hertz."
The Dollar Thrifty saga began last week, when Hertz Global Holdings made an offer an even struck a deal to buy Dollar for $41 per share and a total of $1.2 billion. Avis stepped in a few days later, saying it has a killer offer for Dollar.
"We would like to make a substantially higher offer to acquire Dollar Thrifty, especially in light of your recent performance," Nelson said at the time. Dollar responded to the new development through a letter to employees.
“You may have read in the press that Avis Budget has stated its intention to make a ‘significantly higher offer' for the company. Our board is prepared to entertain such an offer. In the meantime, however, we will work to close the proposed Hertz transaction."
According to Bloomberg, Avis now has a choice between trying a hostile takeover bid or accept a standstill agreement. Sources close to the matter say the discussions between Avis and Dollar are advancing in a friendly manner.
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