Carlyle Group affiliate Hertz will buy Dollar Thrifty Automotive Group for $1.2 billion. Hertz already owns Advantage Rent-a-Car. It will own four brands commonly seen at airport rental counters, Hertz, Dollar, Thrifty & Advantage.
Will employees beg John McEnroe to yell at Carlyle? "30% annual returns, you cannot be serious!"
Watch car rental pricing. It's likely to go higher, whatever the market will bear.
Funny, that's happening with private equity IPO's. Nielsen is the latest addition to a long list of Carlyle Group exits. It should go for at least a double, more if PEU owners bled dividends over the years.
