Volkswagen is negotiating the purchase of the service of car rental Europcar

Carmaker Volkswagen is negotiating the purchase of a company car rental Europcar Mobility Group, reports Reuters, citing sources. In 2006, Volkswagen sold Europcar for €3,32 billion ($3.7 billion) in the framework of the program to reduce costs. Sources said that the interest is preliminary in nature, the German concern plans to conduct a comprehensive review and evaluation of the asset.

Europcar is one of the largest companies in the car rental market in Europe was founded in Paris in 1949. Has its own offices, franchisees and partners in more than 145 countries around the world. The owner of the brand Europcar is an investment company Eurazeo.

Europcar because of the pandemic coronavirus loses. The market capitalization is €390 million Euros ($441 million) and net debt at the end of March amounted to more than €1 billion About the problems in rental vehicles was reported in the fall of 2019. As reported by Bloomberg, November 14, Eurazeo held a “strategic review” for the sale of all his shares or part thereof. Then the company’s market value was estimated at €660 million ($734 million).

Note that may of the other major service car rental Hertz has filed for bankruptcy because of the crisis caused by the pandemic coronavirus. As explained in the company, a reduction in bookings led to a sharp decline in revenue.

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