In a drive to enhance its operations in the Southern African
region, the global car rental company,
Hertz Global Holdings, Inc.
), recently entered into a partnership with Holiday Holdings
International. The company's strategic move is backed by the
rising car rental demand in the region as well as improving
As per the partnership agreement, Hertz has exclusively
authorized Holiday Holdings as the General Sales Agent (GSA) in
the region with the responsibility to enhance rental reservations
to more than 8,800 locations in 150 countries from South Africa,
Namibia, Swaziland, Lesotho, Zimbabwe and Botswana.
The Zacks Rank #1 (Strong Buy) company believes that the
Southern African region possesses enormous growth potential as
evident from a 74% rise in reservations for Gulf countries in
2012 and 34% increase in reservations for Spain.
Reservations for Germany, France and United Kingdom also surged
27%, 13% and 7% respectively. Moreover, the deal is expected to
furnish various synergistic and growth opportunities to Hertz,
which will prove to be accretive to its top line.
Hertz is treading on the footsteps of its arch rival
Avis Budget Group Inc
), which follows a core global strategy of collaborating with
leading travel brands to solidify its customer base while
creating additional demand. Earlier this month, Avis entered into
a partnership with Taiwan High Speed Rail ("THSR") to enhance its
operations in Taiwan.
Hertz's strategic move of expanding its business operations
through partnerships and acquisitions along with a modest
economic recovery, new market opportunities, cost containment
efforts are expected to bode well for future growth.
Founded in 1918 and headquartered in Park Ridge, N.J., Hertz
Global Holdings operates car and equipment rental businesses
globally. The company, which competes with
JTH Holding, Inc
) reports through 2 segments - Car Rental and Equipment
AVIS BUDGET GRP (CAR): Free Stock Analysis
HERTZ GLBL HLDG (HTZ): Free Stock Analysis
JTH HOLDING INC (TAX): Free Stock Analysis
MAC-GRAY CORP (TUC): Free Stock Analysis
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