Hertz: Knighthead, Certares and Apollo Chosen to Fund Chapter 11 Exit | #site_titleHertz: Knighthead, Certares and Apollo Chosen to Fund Chapter 11 Exit

Hertz: Knighthead, Certares and Apollo Chosen to Fund Chapter 11 Exit

Hertz Global Holdings, Inc. (OTC: HTZGQ) has reported the completion of the auction previously approved by the Court in its Chapter 11 case.  Hertz has chosen and approved a revised proposal from select funds and accounts managed by affiliates of Knighthead Capital Management LLC, Apollo Capital Management, LP and Certares Opportunities LLC.  In the proposal, the funds and accounts will provide the equity required to fund Hertz’s revised Plan of Reorganization and exit from Chapter 11.  Paul Stone, Hertz’s President and Chief Executive Officer, commented, “We are very pleased that our Plan process produced such a tremendous result for our creditors and shareholders. We appreciate the strong interest in Hertz from the competing Plan sponsors and thank them for their active engagement, which provided us with excellent options for our exit from Chapter 11. We look forward to working with the KHCA Group to complete the remaining steps in our restructuring and best position Hertz for the future.

“Our proposed Plan provides a robust recovery and excellent value for all of our stakeholders and enables Hertz to emerge as a much stronger, more competitive company,” continued Mr. Stone. “During our restructuring, we have made material improvements in our operational efficiency and have built added cost discipline into our business. Now, we look forward to implementing our Chapter 11 plan, which will substantially strengthen our financial structure by eliminating 79% of our corporate debt. We are well-positioned to take advantage of increasing global travel demand and new long-term growth opportunities. We are excited about Hertz’s future and the benefits for all of our stakeholders – including our employees and customers as well as our investors, franchisees and business partners.”  

A court hearing to confirm Hertz’s Plan of Reorganization is scheduled for June 10th.

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