The move comes after several parties inside both Hertz and Dollar raised concerns about Avis' plans to close the deal. Avis also accuses Hertz of being "wrong on the process and wrong on the facts", as it claims the Avis bid raises antitrust issues.
Such a claim is considered by Avis just a “scare tactic and a smoke screen -- a last-ditch effort to deflect attention from its clearly inferior offer.”
“Although outcomes of governmental reviews cannot be predicted with certainty, both companies are cooperating with an ongoing FTC review,” Avis said in a statement announcing the new bid.
“Both companies have similar airport revenue shares and derive more than half of their revenues from leisure travelers - although, significantly, Hertz has higher leisure renter revenues than Avis and Budget combined.”
The battle between the two companies is likely to heat up in the days to come, as the insane battle for Dollar is being fueled by the fact that the rental industry has remained largely unaffected by the economic crisis. The stakes are high, because who ever takes Dollar will pretty much become one of the biggest players in the industry.
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