Car-rental company Hertz Global Holdings Inc. (HTZGQ.PK) said it has emerged from bankruptcy. The new ticker symbols will be HTZZ for Hertz common stock and HTZZW for warrants, effective on July 1.
Hertz had filed for Chapter 11 for its U.S. operations on May 22, 2020. Hertz's principal international operating regions including Europe, Australia and New Zealand were not included in the U.S. Chapter 11 proceedings.
Following successful restructuring process, Hertz announced Wednesday new board of directors. The new Board will initially include eight members with up to three additional directors to be named in the future.
The eight members named include Certares founder Michael Gregory O'Hara as Chairperson; Knighthead Capital co-founder Thomas Wagner as Vice Chairperson; Certares Senior Managing Director Colin Farmer; Knighthead Partner Andrew Shannahan; Apollo Partner Christopher Lahoud; TPG Capital Senior Advisor and former CEO of Ford Motor Company Mark Fields; current Hertz Board member Vincent Intrieri; and Hertz President and CEO Paul Stone.
Meanwhile, Hertz said that its creditors will receive payment in cash in full and existing shareholders will receive more than $1 billion of value, following its successful restructuring process.
With over $5.9 billion of new equity capital being provided by Hertz's new investor group, led by Knighthead Capital Management LLC, Certares Opportunities LLC, and certain funds managed by affiliates of Apollo Capital Management L.P., Hertz has reduced its corporate debt by about 80% and significantly enhanced its liquidity to fund operations and future growth.
Specifically, Hertz has eliminated about $5.0 billion of debt, including all of Hertz Europe's corporate debt.
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