Enterprise Holdings plans to acquire Deem by the end of this quarter as part of a deal announced Thursday. The companies did not disclose terms.
“Deem will continue to operate autonomously,” according to a press statement, “and offer its suite of business travel technology including air and hotel as well as ground transportation options across major rental car, black car, ride-hailing and rail service providers.”
John Rizzo will remain CEO, and the rest of the Deem executive team will stay with the company, according to the statement.
The parties referenced “an infusion of capital and resources” to help expand Deem’s “product roadmap and increase the pace of product development and enhancements.”
The two already work together on EHI’s small business portal as well as a partnership in China. EHI has been a minority investor in Deem since 2016.
Asked in December about an internal Deem document referencing an increase of EHI’s stake in Deem “in a big way,” Rizzo referenced EHI’s two prior small investments and said, “Whenever we have a funding event for the company, any amount above zero is significant from my perspective.”
According to a prepared statement attributed to Enterprise Holdings EVP and chief strategy officer Greg Stubblefield, “Deem’s combination of intellectual property and tech talent represents a significant opportunity for Enterprise Holdings to further enhance and expand our portfolio of services.”
Enterprise owns the Enterprise Rent-A-Car, National Car Rental and Alamo Rent A Car brands.