PARSIPPANY, N.J. — Avis Budget Group, Inc. announced today that it has acquired a significant interest in Carey International Inc. In connection with this transaction, Avis Budget Group invested approximately $60 million in cash and now owns approximately 45% of Carey’s common stock. In addition, Avis Budget also obtained a one-year option to increase its ownership stake in Carey to approximately 80%, subject to certain conditions, which would likely include the assumption or repayment of Carey’s existing indebtedness. Carey International, with approximately $250 million in revenue in 2006, is the market share leader in the approximately $5 billion chauffeured ground transportation category. Carey offers its customers consistently superior premium service through the industry’s only franchise system. Carey operates in 550 cities and 60 countries through its network of franchisees and alliance partners.
“With this investment, Avis Budget Group expects to be able to offer corporate customers and travel partners the most complete portfolio of local ground transportation products and services available anywhere,” said Avis Budget Group Chairman and Chief Executive Officer Ronald L. Nelson. “As the world’s premier chauffeured services brand, Carey provides premium-quality services across a broad geographic footprint, making it an ideal partner for Avis Budget.”
Technorati Tags: tonylimo, carey, news
“With this investment, Avis Budget Group expects to be able to offer corporate customers and travel partners the most complete portfolio of local ground transportation products and services available anywhere,” said Avis Budget Group Chairman and Chief Executive Officer Ronald L. Nelson. “As the world’s premier chauffeured services brand, Carey provides premium-quality services across a broad geographic footprint, making it an ideal partner for Avis Budget.”
Technorati Tags: tonylimo, carey, news
Powered by ScribeFire.
No comments:
Post a Comment