Hertz Global Holdings, which provides vehicle rental services, announced terms for its IPO on Wednesday. The company is currently listed on the OTC (HTZZ).
The Estero, FL-based company plans to raise $1.0 billion by offering 37.1 million shares (100% secondary) at a price range of $25 to $29. At the midpoint of the proposed range, Hertz Global Holdings would command a fully diluted market value of $13.9 billion. Subject to the completion of the offering, Hertz intends to repurchase between $250 million to $500 million worth of shares from the underwriters.
Hertz operates a vehicle rental business globally primarily through the Hertz, Dollar, and Thrifty brands from company-owned, licensee, and franchisee locations in the US, Africa, Asia, Australia, Canada, the Caribbean, Europe, Latin America, the Middle East, and New Zealand. The company also sells vehicles through Hertz Car Sales and operates the Firefly vehicle rental brand and the Hertz 24/7 car sharing business in international markets. In May 2020, Hertz filed voluntary petitions for relief under Chapter 11, and emerged from bankruptcy this past June.
Hertz Global Holdings was founded in 1918 and booked $6.6 billion in revenue for the 12 months ended September 30, 2021. It plans to list on the Nasdaq under the symbol HTZ. Goldman Sachs, J.P. Morgan, Morgan Stanley, Barclays, and Deutsche Bank are the joint bookrunners on the deal. It is expected to price during the week of November 8, 2021.
