A father and son from Hobart who bought a car rental business out of a newspaper 21 years ago have sold the same business for in excess of $200 million.
Bargain Car Rentals, which now operates out of 14 locations across Australia and has a fleet of about 5,000 vehicles, has been sold to Japanese finance group Tokyo Century.
Bargain is reported as having the highest revenue among Australian owned rental car companies.
The previous owners wanted to above all, thank their staff, suppliers and customers.
“It’s definitely not about us as the previous owners, it’s definitely about the amazing staff we have had and the great service they have provided to customers for the past 20 years,” one of the previous owners – who did not wished to be named – told Pulse.
“To go from buying the business out of a newspaper to what it has become is a testament to the hard work of our staff and the great people who have been involved in the business over the years.”
Treasurer Eric Abetz said the sale was a success story for the state of Tasmania and one of the state’s largest ever private sales.
“Bargain Car Rentals is a local success story that has established itself across the country,” he said.
“It has now launched onto the next stage, with international investors seeing the value in this Tasmanian company.”
Acting CEO Joseph Glover started at the company as their Hobart Airport store manager.
He said the story of Bargain was one of Tasmanian ingenuity and growth.
“When we started to go through this process sought not only interest from Tokyo Century, which is the eventual buyer of the business, but certainly multiple parties, both domestic and international, saw value in the business,” he said.
“So we’re really excited about what the future looks like for us.”
Tim Booker from Tasmanian firm APEX Advisory helped broker the deal.
He told Pulse it was one of the largest M&A transactions in Tasmania’s recent history, which reflects the quality of the business that was being sold.
“The process attracted significant interest globally, with strong domestic and international interest,” he said.
“Transactions of this size don’t come up very often in Tasmania, and we are proud to have been part of an outstanding result for the sellers.”
“Tokyo Century are a great fit as the new owners of Bargain Car Rentals.’
“They not only have the size and sophistication to build on the past successes, but also have strong alignment to the company culture, and well versed expertise in running significant rental care operations.”
The previous owners said they will now focus on philanthropy works including putting more time and energy into a charity they formed which helps improve the lives of children in Uganda.
