Barloworld, one of South Africa’s largest companies announced this week that they will be focusing on the expansion of their car rental businesses in the form of Budget car rental and Avis car rental and fleet services which is already one of the world’s most renowned car rental companies.
Barloworld’s latest realignment has been made possible through the disposal of its Scandinavian car rental operations to RAC Holding AS which is Norwegian Investor group.
Martin Laubscher, CEO Barloworld Automotive said: “Our strategic review concluded that it would not be feasible to implement our integrated vehicle usage solutions strategy in the region. We are pleased to have concluded the transaction in difficult market conditions and are confident that the new owners will continue to build the Avis and Budget brands and exceed our customers’ expectations in the region.”
The net cash proceeds and debt repayments will approximate R1.1bn, the group said.
“The net proceeds will reduce borrowings and enable the group to redeploy capital in higher return business opportunities. This will strengthen the financial position and growth outlook of the Barloworld group as the global economy recovers,” Clive Thomson, CEO Barloworld said.
No related posts.
Related posts brought to you by Yet Another Related Posts Plugin.
Sun, Jul 4, 2010
Business