Hertz announces proposed private offering of $ 1.5 billion senior notes by The Hertz Corporation
ESTERO, Florida, November 17, 2021 / PRNewswire / – Hertz Global Holdings, Inc. (NASDAQ: HTZ) (âHertzâ or the âCompanyâ) today announced that its indirect wholly-owned subsidiary, The Hertz Corporation (âHertz Corp.â), intends to offer $ 10.5 billion total principal amount of senior unsecured notes due 2026 (the â2026 Notesâ) and senior unsecured notes due 2029 (the â2029 Notesâ and, together with the 2026 Notes, the âNotesâ), subject to market fluctuations and other conditions, in connection with a private offer (the âOfferâ) exempt from the registration requirements of the Securities Act of 1933, as amended (the âSecurities Actâ).
The Notes will pay interest semi-annually in arrears. The Notes are expected to be guaranteed on a senior unsecured basis by the domestic subsidiaries of Hertz Corp. which guarantee its first-rate facilities from time to time.
Hertz Corp. intends to use the proceeds of the issuance of the Notes, together with available cash, to (i) redeem some or all of the outstanding shares of the Series A Preferred Shares of Hertz and pay related fees and expenses. (either directly or indirectly by financing a dividend to Hertz) and (ii) pay the costs and expenses related to the Offer. To the extent that the net proceeds of the Offering exceed the amounts required for the purposes described above, Hertz Corp. can choose to keep up to $ 250 million of such remaining net revenue for general corporate purposes (the âGCP Capâ). To the extent that the Remaining Net Proceeds exceed the GCP Cap (such amount in excess thereof, âExcess Net Proceedsâ), Hertz Corp. all or part of the GCP Cap) to reimburse part of the Notes.
This press release does not constitute an offer to sell or the solicitation of an offer to buy the Tickets (or guarantees for the Tickets) or any other security, nor will there be any sale of the Tickets ( or guarantees of the Notes) or any other security in a state or other jurisdiction in which such an offer, solicitation or sale would be illegal prior to registration or qualification under the securities laws of such state or otherwise. jurisdiction. The Notes (and the collateral for the Notes) will be issued pursuant to the exemption from registration requirements under Rule 144A under the Securities Act and, outside of the United States, only to non-US investors in accordance with Regulation S of the Securities Act. None of the Notes (or the guarantees for the Notes) have been registered under the Securities Act or securities laws of any state or other jurisdiction, and may not be offered or sold in United States the lack of registration or an applicable exemption from the registration requirements of the Securities Act and securities laws of a state and other jurisdiction.
This press release does not constitute a notice of redemption under the designation certificate governing the Series A Preferred Shares of Hertz, nor an offer to purchase or purchase Series A Preferred Shares or any other security.
The Hertz Corporation, a subsidiary of Hertz Global Holdings, Inc., operates the Hertz, Dollar and Thrifty vehicle rental brands through North America, Europe, the Caribbean, Latin America, Africa, the Middle East, Asia, Australia and New Zealand. Hertz Corporation is one of the largest car rental companies in the world and the Hertz brand is one of the most recognized in the world. In addition, The Hertz Corporation operates the Firefly car rental brand and Hertz 24/7 carsharing business in international markets and sells vehicles through Hertz Car Sales.
CAUTION REGARDING FORWARD-LOOKING STATEMENTS
Certain statements contained in this press release include “forward-looking statements” within the meaning of applicable securities laws and regulations. These statements often include words such as “believe”, “expect”, “plan”, “potential”, “anticipate”, “intend”, “plan”, “estimate”, “seek”, “wish”, “power,” “would”, “should”, “might”, “forecast” or similar expressions. These statements are based on the Company’s current views with respect to future events and timing of the Offer and the use of proceeds therefrom. These forward-looking statements are subject to a number of risks and uncertainties, including prevailing market conditions, as well as other factors. Forward-looking statements represent the Company’s estimates and assumptions only as of the date they were made and, except as required by law, the Company does not undertake to publicly update or revise any forward-looking statements. whether as a result of new information, future events or otherwise.
SOURCE Hertz Global Holdings, Inc.