Advantage Rent A Car, which is owned by The Catalyst Capital Group Inc, has closed its buy of car rental company E-Z Rent-A-Car Group Holdings LLC. No financial terms were disclosed.
FT. LAUDERDALE, FL and ORLANDO, FL–(Marketwired – June 08, 2015) – Advantage Rent A Car (“Advantage”), the fourth largest rental car company in the U.S. owned by The Catalyst Capital Group Inc., a leading private equity firm with over $5 Billion in assets under management, announces that it has completed its purchase of E-Z Rent-A-Car Group Holding, LLC (“E-Z”), a leader in value-priced car rental services.
Through a network of 85 locations, the combined company will capitalize on its presence in 22 of the top 25 U.S. airports and its team’s experience to deliver more choice and better value to consumers in the $25 billion U.S. auto rental industry.
Together, Advantage and E-Z will cater to a wide range of customers, including value-focused leisure travelers, independent business professionals, and customers historically under-served by the major car rental companies. With one of the industry’s largest, youngest and most diverse fleets and the financial strength of Catalyst Capital and its lenders, Advantage and E-Z expect the combination to strengthen their position as the best value brands in the car rental market.
“We can now see even more benefits to our ‘one company, two brand’ approach than originally envisioned. The combination will allow greater efficiencies and economies of scale in areas such as fleet, maintenance, back office processing and procurement,” said Bill Plamondon, President of Advantage.
The combined company becomes one of the major players in the Rent a Car industry in the United States. It will be led by an experienced management team that includes the founders of E-Z, Mehrdad Memarpouri and Hesam Sahraian, William Plamondon and Scott Lieberman from the Advantage team, and Gabriel de Alba, Managing Director and Partner of The Catalyst Capital Group Inc.
“This is the new model for operational excellence, a rental car company that is able to leverage established brands under an efficient and dynamic operational platform that can maximize growth and profitability,” remarked Mehrdad Memarpouri.
“This combination is exactly what we strive for in an investment,” said Gabriel de Alba, Managing Director and Partner of The Catalyst Capital Group Inc. “Delivery of a solution to the regulators, high barriers to entry, valuable underlying assets, proven established brands, a seasoned management team and the economies of scale of a major player that is positioned to grow its market share,” added de Alba.
About Advantage Rent A Car
Advantage Rent A Car was founded in 1963 and is one of the leading rental car companies in the United States. The Catalyst Capital Group Inc., a private equity firm based in Toronto, Canada that manages over $5 billion in various funds, acquired the Advantage brand and related assets in 2014. Advantage now operates at 44 locations across the United States. The new Advantage features one of the industry’s youngest, most diverse rental car fleets. The company also recently launched new growth initiatives including a business customer program, Advantage for Business, which offers a flat pricing structure and other perks for frequent business travelers.
About E-Z Rent-A-Car
Founded in 1994 with a fleet of just nine cars, E-Z Rent-A-Car has grown to be one of the leading car rental companies in the United States. E-Z has delivered value to its customers by offering quality vehicles at attractive prices in convenient locations backed by responsive customer service. The Company has expanded the number of company-owned facilities it operates in the U.S. and grown its footprint in smaller markets.
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