Hertz to buy car hire rival Dollar Thrifty for $2.56 billion | Reuters

Hertz Global Holdings (HTZ.N) agreed to buy rival Dollar Thrifty Automotive Group DTG.N for about $2.56 billion in a deal that puts the combined company's share of the U.S. car rental market at around 25 percent.

The merger ends more than two years of on-off takeover talks for Dollar Thrifty involving Hertz, the second-largest U.S. car rental company, and third-ranked Avis Group Inc (CAR.O).

With the long coveted acquisition of fourth-ranked Dollar Thrifty, Hertz would further cement its lead over Avis while narrowing the gap with market leader Enterprise Holdings, which owns Enterprise along with the Alamo and National brands.

Around 95 percent of the U.S. car rental ma