ESTERO, Fla., Oct. 16, 2020 /PRNewswire/ -- Hertz Global
Holdings, Inc. (NYSE: HTZ) today announced that it has secured
commitments for debtor-in-possession ("DIP") financing totaling
$1.65 billion and has filed a
motion for approval of the financing by the U.S. Bankruptcy Court
for the District of Delaware.
Hertz President and CEO Paul
Stone said, "This new financing will provide additional
financial flexibility as we continue to navigate the pandemic's
effects on the travel industry and take steps to best position our
business for the future. We are pleased with the strong interest
from our pre-petition first-lien lenders and appreciate their
support of Hertz and our future opportunities as a rental car
leader."
The proposed DIP financing will support the Company as it moves
through its next stage of its Chapter 11 process. The financing is
to be provided by certain of the Company's pre-petition first-lien
lenders and is expected to be structured as a delayed draw term
loan debtor facility. Up to $1
billion can be used to provide equity for vehicle
acquisition in the U.S. and Canada. Up to $800
million can be used for working capital and general
corporate purposes. The financing is subject to finalization of
definitive documentation, Court approval and other customary
conditions, and a hearing is scheduled for October 29,
2020.
Moelis & Co. is serving as investment banker, FTI Consulting
is serving as Hertz's financial advisor and White & Case LLP is
serving as Hertz's legal advisor.
Additional information about the DIP financing and Court filings
are available on https://restructuring.primeclerk.com/hertz.
About Hertz
The Hertz Corporation, a subsidiary of
Hertz Global Holdings, Inc., operates the Hertz, Dollar and Thrifty
vehicle rental brands throughout North
America, Europe, the
Caribbean, Latin American,
Africa, the Middle East, Asia, Australia and New
Zealand. The Hertz Corporation is one of the largest
worldwide vehicle rental companies, and the Hertz brand is one of
the most recognized globally. Additionally, The Hertz Corporation
owns the vehicle leasing and fleet management leader Donlen
Corporation, operates the Firefly vehicle rental brand and Hertz
24/7 car sharing business in international markets and sells
vehicles through Hertz Car Sales. For more information about The
Hertz Corporation, visit www.hertz.com.
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SOURCE Hertz Global Holdings, Inc.