Leaving Bankruptcy Behind, Hertz Orders 100,000 Teslas
The Hertz Corporation, which operates the Hertz, Dollar and Thrifty vehicle rental brands ,one of the largest worldwide vehicle rental companies in the world has announced a significant investment to offer the largest EV rental fleet in North America and one of the largest in the world with an initial order of 100,000 Teslas by the end of 2022 and new EV charging infrastructure across the company's global operations.
As consumer interest in electric vehicles (EV) skyrockets, Hertz is teaming up with seven-time Super Bowl champion and entrepreneur Tom Brady to showcase how it is making EV rentals fast, seamless and more accessible, as the company accelerates its commitment to lead the future of mobility and travel.
"Electric vehicles are now mainstream, and we've only just begun to see rising global demand and interest," said Hertz interim CEO Mark Fields. "The new Hertz is going to lead the way as a mobility company, starting with the largest EV rental fleet in North America and a commitment to grow our EV fleet and provide the best rental and recharging experience for leisure and business customers around the world."
Beginning in early November and expanding through year-end, customers will be able to rent a Tesla Model 3 at Hertz airport and neighborhood locations in U.S. major markets and select cities in Europe.
Hertz also is installing thousands of chargers throughout its location network. Customers who rent a Tesla Model 3 will have access to 3,000 Tesla supercharging stations throughout the U.S. and Europe.
Hertz will offer a premium and differentiated rental experience for the Tesla EVs. This includes digitized guidance to educate customers about the electric vehicle to get them on their way quickly, and coming soon, an expedited EV rental booking process through the Hertz mobile app.
With the current order, EVs will comprise more than 20 percent of Hertz global fleet and is expected to be supported by a combination of Level 2 and DC fast charging in approximately 65 markets by the end of 2022 and more than 100 markets by the end of 2023. Hertz said these ambitions could be affected by factors outside of Hertz's control, such as semiconductor chip shortages or other constraints.
When the pandemic halted virtually all travel last year, Hertz was one of the first major companies to file for bankruptcy . Drowning in more than $18 billion in debt at the time it filed for Chapter 11 bankruptcy protection in May 2020.
Later in 2021 an investor group led by Knighthead Capital Management, Certares Opportunities and Apollo Capital Management offered to buy Hertz and take it out of bankruptcy
News of the deal helped Tesla’s stock jump almost 7% high at $975 in early morning trading, a new record-high, just one trading day after shares hit $900.
