YaKuZa--BoSs Posted June 29, 2020 Posted June 29, 2020 The rental company could give the German manufacturer access to additional sales channels The automobile company Volkswagen would be studying the purchase of the car rental firm Europcar, according to sources close to the company, who have assured that these considerations are still in an "early" stage, so the offer is not firm. . But shareholders do not wait. Shares of the car rental company soared on Wednesday on the Paris Stock Exchange when the purchase interest by the German consortium was disclosed. Their titles rose more than 16% in the first minutes of trading on the French market, to 2.78 euros, compared to 2.38 euros at the close of the day before. At 11:30 local time (9:30 GMT), the rise had slowed to 8.57% to 2,584 euros. In less than two and a half hours, more than 6% of its capital had been traded. Eurazeo, the company holds 30% of Europcar shares, announced in late November its intention to sell its package. Prospecting for interested candidates had been suspended during confinement, but resumed with de-escalation. Europcar has a market capitalization of 425 million euros and at the end of the first quarter carried a debt of more than 1,000 million. At the beginning of May, he presented a plan to reduce costs and protect his liquidity with a loan of 220 million euros with a 90% guarantee from the French State; 67 million in new lines of financing guaranteed at 70% by the Spanish State; and an additional 20 million guaranteed by Eurazeo. In this way, Volkswagen would be considering an agreement to expand its mobility service offerings, so Europcar would give the company access to additional sales channels for its electric models. 1
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