Hertz Completes European Refinancing Objectives Ahead of Schedule

Hertz Global Holdings Inc. announced July 1 that it closed an offering of €400 million in senior notes due 2015 and completed a €220 million revolving credit facility that matures in 2013.

The car rental company said proceeds from both transactions will be used to refinance its international fleet debt facilities and Belgian fleet financing facility, both of which were due to mature in December 2010, and the excess will be used for general purposes.

In addition, Hertz announced the expected closing tomorrow of a €400 million asset-backed securitization facility. The proceeds of this securitization will be used to refinance the portion of the company's existing international ABS fleet financing facility relating to France and Netherlands, which is due to mature in December 2010.

"We now have essentially completed our European refinancing. With the securitization expected to close in early July, we will have accomplished our European refinancing ahead of schedule and on favorable terms, despite difficult market conditions," Mark P. Frissora, Hertz's Chairman and Chief Executive Officer.

The senior notes were issued and the revolving credit facility was incurred by Hertz Holdings Netherlands B.V., a subsidiary of Hertz and a private company with limited liability incorporated under the laws of The Netherlands. They will provide the primary fleet financing for the company's rental car operations in Germany, Italy, Spain, Belgium, Luxembourg and Switzerland.

The securitization will be incurred by a newly formed special purpose vehicle sponsored by Hertz and will be the primary fleet financing for its rental car fleet located in France and the Netherlands.

Comment On This Story

Name:  
Email:  
Comment: (Max. 10000 characters)  
Please leave blank:
* Please note that every comment is moderated.

 
 

Newsletter: Sign up to receive latest news, articles, and much more.

Read the latest

Auto Focus Blog: A blog covering fleets, auto rental and the business of cars

The Problem with Valuing Safety Technology

As advanced safety technologies have migrated to mainstream vehicles, retaining value for these options at resale remains an issue.

ELD Mandate: Is Your Head Still in the Sand?

If you think you have 11 weeks to implement an Electronic Logging Device system to meet the Dec. 18 compliance deadline, you really don’t — for a few reasons.

Who Controls Your Vehicles’ Data?

In the name of security, an automaker’s alliance is advocating denial of third-party access to the OBD-II port. Is this going too far?

Job Finder: Access Top Talent. Fill Key Positions.

>