It has been sold by Ford in a deal worth $15 billion, which includes $10 billion of debt so gives Ford $5.6 billion (£3.1 billion) for the business.
Ford’s chief financial officer Don Leclair said: ‘This transaction reinforces our commitment to strengthening our balance sheet and investing in our core automotive business.
‘Hertz is a world-class company with an experienced management team. We look forward to working with the new owners and intend to maintain our strong commercial relationship with Hertz.’
The new owners are investment firms Clayton Dubilier & Rice, The Carlyle Group, with backing from Merrill Lynch Global Private Equity. The deal is subject to regulatory approval and is expected to be completed by the end of the year.