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Hertz Announces Pricing of Upsized $375 Million Exchangeable Senior Notes Offering
The Exchangeable Senior Notes will be Issued by The Hertz Corporation ESTERO, Fla.--(BUSINESS WIRE)-- Hertz Global Holdings, Inc. (NASDAQ: HTZ) (“Hertz” or
About this update from Hertz Global Holdings, Inc
[{"type":"text","content":"\nThe Exchangeable Senior Notes will be Issued by The Hertz Corporation\n\n\n ESTERO, Fla.--(BUSINESS WIRE)--\nHertz Global Holdings, Inc. (NASDAQ: HTZ) (“Hertz” or the “Company”), a leading global rental car company, today announced that its wholly-owned indirect subsidiary, The Hertz Corporation (“Hertz Corp.”), has entered into an agreement to sell $375 million in aggregate principal amount of 5.500% Exchangeable Senior Notes due 2030 (the “Notes”), in a private offering exempt from the registration requirements of the Securities Act of 1933, as amended (the “Securities Act”). Hertz Corp. also granted the initial purchasers of the Notes an option to purchase, for settlement within a period of 13 days from, and including, the date the Notes are first issued, up to an additional $50 million in aggregate principal amount of the Notes. The aggregate principal amount of the offering was increased from the previously announced offering size of $250 million. The offering is expected to close on or about September 29, 2025, subject to customary closing conditions.\n\n\nHertz Corp. estimates that the net proceeds from the issuance of the Notes, after deducting the initial purchasers’ discount and estimated offering expenses payable by Hertz Corp., will be approximately $360.13 million (or approximately $408.38 million if the initial purchasers exercise in full their option to purchase additional Notes). Hertz Corp. intends to use approximately $33.26 million of the net proceeds from the issuance of the Notes to fund the cost of entering into the capped call transactions described below. Hertz Corp. intends to use $300 million of the net proceeds from the issuance of the Notes to fund the partial redemption or repurchase of its outstanding Senior Notes due 2026 on or before December 31, 2025 and to use the remaining net proceeds for general corporate purposes, which may include the repayment of outstanding indebtedness. If the initial purchasers exercise their option to purchase additional Notes, then Hertz Corp. intends to use a portion of the additional net proceeds to fund the cost of entering into additional capped call transactions and apply the remainder towards general corporate purposes, which may include the repayment of outstanding indebtedness.\n\n\nThe Notes will bear interest at a rate of 5.500% per year, payable semi-annu...