Chrysler Corp. said Thursday that it has agreed to acquire Thrifty Rent-a-Car Systems Inc. for $263 million, becoming the last of the Big Three auto makers to take a stake in the rental car business.
The agreement, announced by Chrysler Chairman Lee Iacocca during the company's annual meeting in San Francisco, calls for Chrysler to pay $27.75 a share for all of Tulsa, Okla.-based Thrifty's stock.
Thrifty's five major shareholders have granted options to Chrysler for acquisition of 54% of the outstanding shares.
The news sent Thrifty's stock price up $9.25 a share to $27.25 in national over-the-counter trading. In trading on the New York Stock Exchange, Chrysler rose 37.5 cents a share to $24.75.
Ford Motor Co. has interests in Hertz Corp. and Budget Rent A Car Corp., and General Motors Corp. owns part of National Car Rental.
Iacocca called Thrifty, the fifth-largest car rental company in North America, "a solid player in the car rental business." Thrifty's management would remain in place.