DAILY rental company Europcar is being sold in a deal worth €3.32 billion. Parent company Volkswagen is selling the business to French investment group Eurazeo.

Volkswagen chairman Dr Bernd Pischetsrieder said: ‘The purchase price confirms the high capability of Europcar. It shows that the employees have produced a first-class performance over the last years and have generated a significant increase in the value of the company.’

Once debts of more than E2 billion have been deducted, the sale price amounts to €1.26 billion. The sale is still subject to regulatory approval.

Pischetsrieder said the Volkswagen Group was committed to ‘its strategic goal of a mobility services provider’.

He added: ‘By selling the company, our capital tie-up is significantly reduced. And we can continue to focus on our core business.’

Executives say that Eurazeo will continue to run Europcar as a company and plans to grow the business.