The Owasso Economic Development Authority is watching with keen interest a possible merger between Dollar Thrifty Automotive Group and Vanguard Car Rental, owner of the National and Alamo chains.
The deal, if completed, would be valued at more than $3 billion, the New York Times reported on Wednesday.
The Owasso Economic Development Authority provided Vanguard with a $2 million loan in 2005.
If Vanguard were to merge with Dollar Thrifty and move its assets to another company, it would be required to repay the OEDA in full the balance of the outstanding loan, according to Rodney Ray, Owasso city manager.
The loan was an incentive to Vanguard when it relocated its headquarters to the Cherokee Industrial Park. Vanguard pledged to bring more jobs to the region as part of the Oklahoma Jobs Initiative.
Then mayor Craig Thoendel opposed the loan, citing that Vanguard was already at the industrial park and needed not incentives to come to the area.
Talks have been ongoing for several months, according to The New York Times.
If completed, the deal would create the third largest rental car company in the United States, behind Enterprise and Hertz.