Avis Budget Group

Last updated
Avis Budget Group, Inc.
Company type Public
Industry
Predecessor Cendant
Founded2006;18 years ago (2006)
Founders
Headquarters,
United States
Number of locations
11,000 (2019)
Areas served
Worldwide
Key people
Services Car and truck rentals
RevenueIncrease2.svg US$12.1 billion (2023)
Increase2.svgUS$2.6 billion (2023)
Increase2.svgUS$1.6 billion (2023)
Total assets Increase2.svgUS$27.4 billion (2023)
Total equity Decrease2.svgUS$349 million (2023)
Number of employees
21,000 (2023)
Subsidiaries
Website avisbudgetgroup.com
Footnotes /references
[1] [2]

Avis Budget Group, Inc. is an American car rental agency holding company headquartered in Parsippany, New Jersey. It is the parent company of several brands including Avis Car Rental, [3] Budget Rent a Car, [4] Budget Truck Rental, Payless Car Rental and Zipcar. [5]

Contents

The company also operates several smaller, regional brands including ACL Hire, Apex Car Rentals, [6] AmicoBlu, France Cars, Maggiore Group, [7] MoriniRent, TurisCar and TurisPrime. [5]

It is one of the three big rental car holding companies in the United States. In 2021 it held a 26% market share, placing it behind both the Hertz Global Holdings and Enterprise Holdings. [8]

History

Following the decision to dissolve the Cendant company name and split into four separate companies, the vehicle rental division of Cendant became Avis Budget Group in 2006. [9]

In 2011, Avis Budget Group acquired Avis Europe, an independently owned company licensee, globally reuniting the Avis and Budget brands. [10]

On September 5, 2012, Avis Budget Group acquired Apex Car Rentals of New Zealand. [11]

On March 14, 2013, Avis Budget Group purchased carsharing company Zipcar for about US$500 million in cash. [12] [13]

On April 9, 2015, Avis Budget Group announced it had completed the acquisition of Maggiore Group, Italy's fourth-largest vehicle rental company. [14]

The company's stock value rose dramatically due to increased demand for car rentals during the COVID-19 pandemic [15] and it became a meme stock in November 2021, with shares at one point doubling in a single day. [16] Despite rising revenues, the value of the stock began to decline in 2024 due to rising federal interest rates and declining values for used cars. [17]

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References

  1. "Avis Budget Group". Forbes.
  2. "Avis Budget Group Reports Fourth Quarter and Full Year Results". avisbudgetgroup.com.
  3. Christian Stoyanov. "Avis Budget Group: A Time For Transformation". Seeking Alpha. Retrieved 30 April 2019.
  4. "Cendant cutting hotels, strikes deal for Budget". Chicago Tribune. Retrieved 30 April 2019.
  5. 1 2 "Brands". Avis Budget Group. Retrieved 7 September 2020.
  6. "Avis Budget Group Enters Agreement to Acquire Apex Car Rentals of New Zealand". Auto Rental News. Retrieved 30 April 2019.
  7. Chelsey Dulaney. "Avis Budget to Buy Italy's Maggiore Group for $170 Million". Wall Street Journal. Retrieved 30 April 2019.
  8. "How Consolidation in the Car Rental Industry Is Likely to Overhaul Ground Transportation". GEP. Retrieved 2021-06-23.
  9. "Cendant to become Avis. Budget". Pacific Business News. August 29, 2006. Retrieved 18 August 2012.
  10. "SEC Filings: 10-K 2019". Avis Budget Group. 20 February 2020. Retrieved 7 September 2020.
  11. "Avis Budget Group to Acquire Apex Car Rentals - Quick Facts". Archived from the original on 2015-05-18. Retrieved 2015-05-09.
  12. "Avis Budget to buy Zipcar for $500 mln". Reuters. 2 January 2013. Retrieved 2 January 2013.
  13. Rebecca Greenfield (2013-03-15). "Uh Oh, ZipCar's CEO Stepped Down Right After Its Merger with Avis". The Atlantic. Archived from the original on 2013-03-21. Retrieved 2022-01-20.
  14. Emily Bader (9 April 2015). "Avis completes $160M acquisition of Italian vehicle rental business". NJBIZ.
  15. "Rental car company Avis wrecked $1 billion of its largest shareholder's stake this year". Quartz.
  16. "Meet the new meme stocks? Shares of Avis and Bed Bath & Beyond soar". New York Times.
  17. "A Hedge Fund Made a Killing on Avis Stock. Now the Trade Is Backfiring". Wall Street Journal.