NEW YORK — Avis Budget proposed Monday making a “substantially higher” counteroffer to Hertz’s bid to buy rental-car company Dollar Thrifty.
Dollar rose 15 percent to $50.70, exceeding the $41 that Hertz valued its offer for Dollar on April 26. Avis chief executive Ronald Nelson wrote Monday of his interest to Tulsa, Okla.-based Dollar’s chairman and CEO.
“For the Dollar Thrifty shareholders, it’s ‘Show me the money,’ and the more the better,” said Neil Abrams, president of Abrams Consulting Group in Purchase, N.Y. “The Dollar Thrifty board may still think the Hertz deal is the best move for the company for regulatory reasons or long-term value for the brands.”
The Hertz offer was 5.5 percent more than Dollar’s April 23 close and reflects a strengthening economy that is spurring travel and corporate mergers.
