Budget Group Inc.’s sale of RV rental firm Cruise America to an investment group including two of Cruise America’s founders was completed Thursday (Oct. 26).
Car and truck rental firm Budget sold 80.1% of Cruise America to an investment group including Randall Smalley and his brother, Robert Smalley Jr. Thor Industries Inc. provided financial assistance to the investment group and now is the primary supplier of RVs to Cruise America.
Budget retains a 19.9% stake in Cruise America.
According to Budget’s statement, the sale of Cruise America “generated proceeds of approximately $27.5 million in cash and notes receivable” for Budget.
The decision by Budget to sell Cruise America, which Budget acquired in January 1998, was part of Budget’s “strategic initiative to sell its non-core assets and focus solely on its car and (Ryder) truck rental businesses.”