Hertz’s Plan Of Reorganization Confirmed By Chapter Courtroom

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Jun 15, 2021 1:12 PM ET

Authorized Newswire POWERED BY LAW.COM

Hertz International Holdings, Inc. (OTCPK:HTZGQ) (“Hertz” or the “Firm”) at present introduced that the Chapter Courtroom confirmed the Firm’s Plan of Reorganization (the “Plan”). The Plan unimpairs all lessons of collectors (who’re legally deemed to have accepted it) and was accepted by greater than 97% of voting shareholders. The Courtroom’s approval clears the way in which for Hertz to emerge from Chapter 11 by the top of June 2021.

Because of its restructuring efforts, Hertz will emerge from Chapter 11 with a considerably stronger stability sheet and larger monetary flexibility than it had previous to the onset of the COVID-19 pandemic, which compelled Hertz to file for Chapter 11 aid in Might 2020. Hertz’s Plan will remove over $5 billion of debt, together with all of Hertz Europe’s company debt, and can present greater than $2.2 billion of worldwide liquidity to the reorganized Firm. Hertz additionally will emerge with (i) a brand new $2.8 billion exit credit score facility consisting of a minimum of $1.3 billion of time period loans and a revolving mortgage facility, and (ii) an roughly $7 billion of asset-backed car financing facility, every on favorable phrases. The Plan supplies for the fee in money in full to all collectors and for present shareholders to obtain greater than $1 billion of worth.

Paul Stone, Hertz’s President and Chief Govt Officer, stated: “With the Courtroom’s approval of our Plan at present and a dedicated new investor group, we’re poised to exit Chapter 11 by the top of this month as a well-capitalized and much more aggressive firm, with the flexibleness and assets to pursue thrilling new development alternatives. I need to thank our staff and groups all over the world for his or her onerous work, which has enabled us to proceed taking nice care of our prospects. Because the demand for rental automobiles continues to rise, we stay up for serving to our prospects journey confidently and safely as they get again out on the street, and to efficiently constructing on Hertz’s greater than 100-year historical past of high quality service as one of many world’s finest recognized manufacturers.”

For Courtroom paperwork or filings, please go to https://restructuring.primeclerk.com/hertz or name (877) 428-4661 or (929) 955-3421. White & Case LLP is serving as authorized advisor, Moelis & Co. is serving as funding banker, and FTI Consulting is serving as monetary advisor.

The Hertz Company, a subsidiary of Hertz International Holdings, Inc., operates the Hertz, Greenback and Thrifty car rental manufacturers all through North AmericaEurope, the CaribbeanLatin AmericaAfrica, the Center EastAsiaAustralia and New Zealand. The Hertz Company is without doubt one of the largest worldwide car rental firms, and the Hertz model is without doubt one of the most acknowledged globally. Moreover, The Hertz Company operates the Firefly car rental model and Hertz 24/7 automobile sharing enterprise in worldwide markets and sells autos by way of Hertz Automobile Gross sales. For extra details about The Hertz Company, go to www.hertz.com.


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