Dollar Thrifty reacts to Avis offer
In a letter from Dollar Thrifty president and CEO, Scott L Thompson to Ronald L Nelson, Avis Budget Group chairman and CEO, Mr Thompson outlined the company's criteria to accept the deal. He said that firstly the deal must be more favourable from a financial point of view, secondly that financing was likely to be obtained anf finally that the deal could be expected to be consummated on a timely basis.
It is with regards to the latter point that Dollar Thrifty has rebuffed the deal, with Mr Thompson saying: 'A higher price cannot compensate for a deficiency in deal certainty.'
He added: 'But even if we could blend the factors as you suggest, Avis Budget's unwillingness to provide a reverse termination fee, coupled with your disinclination to provide analytical data supporting your antitrust position, leaves us incapable of making such an assessment.'
However, he said that Dollar Thrifty stands ready to review and consider any modifications that Avis may wish to make to its proposal.