Hertz has finalised a long-running pursuit of rival Dollar Thrifty by agreeing a deal worth about $2.3 billion.

The price is more than twice an offer originally made two years ago.

Hertz has agreed to sell its Advantage Rent-A-Car brand to Franchise Services of North America and Macquarie Capital in an effort to gain regulatory approval for the Dollar Thrifty takeover.

Hertz chairman and chief executive Mark Frissora said: “We are pleased to have finally reached an agreement with Dollar Thrifty after a lengthy—but worthwhile—pursuit.

“The transaction provides Hertz instant scale with two new, well- established brands with airport concession infrastructure in the midtier value segment.”

The combined company would have more than 10,000 locations worldwide.

Hertz and Dollar Thrifty had combined sales of $10.2 billion in the year to June 30 and earnings before interest, tax, depreciation and amortization of $1.8 billion.

Hertz plans to continue operating Dollar and Thrifty as separate brands competing for different types of customers, a person familiar with the situation told the Wall Street Journal.

Hertz said it expects to see at least $160 million in annual cost savings after the companies are combined.