Penske Acquires Hoosier Hertz Franchises

Watch stocks you care about

The single, easiest way to keep track of all the stocks that matter...

Your own personalized stock watchlist!

It's a 100% FREE Motley Fool service...

Click Here Now

On Tuesday, Penske Automotive Group (NYSE: PAG ) announced that it has signed a franchise agreement giving it control over multiple Hertz (NYSE: HTZ ) car-rental locations in the state of Indiana.

Specifically, Penske says it has purchased Hertz assets at "more than 20 Hertz airport and off-airport locations, including the three principal airports of Indianapolis, Fort Wayne, and South Bend."

Announcing the deal, Penske Car Rental President Bud Denker pointed to Penske's existing Hertz franchise in Memphis as proof that this tie-up is a good idea, and he called the expansion into Indiana "a logical progression in our relationship." For its part, Hertz called the agreement with Penske "part of Hertz's strategy to transition select corporate markets to franchisee operations."

Financial terms of the deal were not disclosed. Nevertheless, investors applauded it, bidding up Penske shares 1.9% to close at $30.67, and bidding Hertz up 3% to $20.26.

Jeff Fischer and team have demystified options. And they can rack up income like $1,030... $2,626... and $3,228 on a schedule you can set your watch by!
That's why we're glad to announce every single one of their closely guarded strategies is available to YOU during May and June – 100% FREE, no strings attached! Just enter your email address in the box below...

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment icon found on every comment.