Hertz Global Holdings Inc has ordered 100,000 Tesla electric vehicles, actively pursuing the electrification of its rental car fleet. The deal is worth $ 4.2 billion. It is the largest purchase of electric vehicles in history. Cars will be delivered within the next 14 months.
Bloomberg points out that the cost of the order implies that Hertz is paying list prices for Teslas, meaning it does not receive the discount on its large order that car rental companies usually get from car manufacturers.
Bloomberg writes that the Tesla Model 3 will be available for rent from Hertz offices in major US markets and parts of Europe from early November. Customers will, of course, have access to Superchargers, and Hertz is also building its own infrastructure for charging electric vehicles.
The electrification plan, which will eventually cover nearly all of Hertz’s half a million cars and trucks worldwide, is the company’s first major initiative since bankruptcy in June. And it shows that the new owners of Hertz, Knighthead Capital Management and Certares Management, intend to shake up an industry dominated by a handful of big players who are usually slow to change.
Bloomberg
The face of the new ad campaign is NFL star Tom Brady.
Tesla shares rose 4-5% in response to this news, as well as the upgrade of Morgan Stanley’s rating.
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