Fleet News

RAC sale: 'yes' vote expected

RAC members are expected to vote in favour of the organisation's Motoring Services division being sold to the giant American Cendant Corporation at a meeting on August 12. However, the Office of Fair Trading is involved in ongoing talks with the RAC over a possible monopoly position as Cendant already owns Green Flag.

The RAC expects the OFT to give its initial verdict before the end of August. Next month's RAC members' vote follows High Court approval for the sale following objections by some associate members, overseas, lapsed and widows of members that they were entitled to benefit from the proceeds of the £450 million sale. The organisation's near 12,000 members stand to collect almost £35,000 each.

A spokesman for the RAC said he expected members to give approval for RAC Motoring Services to be sold to Cendant, which in the UK in recent months has bought PHH Vehicle Management Services, Green Flag, Fleet Cost Management, Overdrive, Dialcard and National Car Parks. The members have already given near to 100% approval for the RAC structure to be changed to allow the sale to proceed.

Leave a comment for your chance to win £20 of John Lewis vouchers.

Every issue of Fleet News the editor picks his favourite comment from the past two weeks – get involved for your chance to appear in print and win!

Login to comment


No comments have been made yet.

Compare costs of your company cars

Looking to acquire new vehicles? Check how much they'll cost to run with our Car Running Cost calculator.

What is your BIK car tax liability?

The Fleet News car tax calculator lets you work out tax costs for both employer and employee