Hertz Global Holdings has signed a $250 million deal to acquire US fleet leasing and management company Donlen.
Hertz will also take on Donlen’s $680 million of debt, according to reports.
Mark Frissora, Hertz’ CEO, said the acquisition would expand the company’s transport solutions, in particular for corporate clients.
“The integration of Donlen gives Hertz a yearly and multi-year offering that complements our hourly, daily and monthly car sharing and car rental options for customers,” he said.
“This range of solutions from a single provider will make Hertz unique among its peers.”
The addition of Donlen to the Hertz portfolio will give the company “a more stable revenue stream”, added Frissora.
The acquisition of Donlen is likely to mean Hertz expands its fleet management offering in Europe.
In a statement, Hertz said: “Together with Donlen’s existing relationships, Hertz will now be able to significantly expand its fleet management capability to Europe and other international markets.”
Based in Illinois, Donlen currently leases and manages more than 144,000 vehicles across the US, Canada and Mexico.