If you can beat ‘em, buy ‘em

As the old saying goes ‘If you can’t beat ‘em’, join ‘em’, and that’s exactly what US car rental giant Hertz has done after they snapped up rival firm Dollar Thrifty in a mega $1.17 billion deal.

Hertz was already the world’s biggest car rental company with 7,350 locations around the world but the new signing will see them add another 1,550 world wide. Its been reported that Hertz made a first quarter loss in 2010 reducing its share price by 12% but they say their their new acquisition was made based on their prediction that car rental will rise by 10% - due to an increase in private motoring thanks to the global recession.

The news is expected to rapidly increase the new company's stock price this week.

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