Hertz Bankruptcy Court Approves $1B Stock Sale
Hertz says the recent increases in its stock “present a unique opportunity for its debtors to raise capital on terms that are far superior to any debtor-in-possession financing.”

Hertz said in the filing that the net proceeds would be used for general working capital purposes.
Photo courtesy of Hertz.
The U.S. Bankruptcy Court for the District of Delaware granted Hertz approval on Friday to sell up to $1 billion in stock.
Hertz said in the filing that the net proceeds would be used for general working capital purposes.
“The recent market prices of and the trading volumes in Hertz’s common stock potentially present a unique opportunity for the debtors to raise capital on terms that are far superior to any debtor-in-possession financing,” Hertz said in the filing.
The move is raising eyebrows in the investment community.
It’s common for companies in bankruptcy to obtain debtor-in-possession financing, said research analyst Dilantha De Silva in a post on Seeking Alpha.
“It is, however, revolutionary to even think about raising capital from equity markets after filing for Chapter 11 as it's no secret that most of these companies eventually cancel existing common shares in their reorganization plans, leading to a permanent loss of invested capital,” he wrote.
At the time of commencing bankruptcy, Hertz had close to $20 billion in debt.
Hertz shares have skyrocketed about 300% since May 26, the first day of trading after it declared bankruptcy. Hertz shares closed Friday up 37% to $2.83 a share.
There has been a surge in users of the popular Robinhood trading app in the last couple of months. Shares shot higher on Friday of airlines, cruise lines, and companies that have been popular with investors on Robinhood, a day after stocks suffered one of the worst one-day market retreats of the year.
Hertz's stock sale comes as it fights to keep its stock from being delisted on the New York Stock Exchange, which sent a letter to Hertz on May 26 regarding commencing proceedings to delist.
Hertz is requesting a hearing before the NYSE to contest the potential delisting.
More Rental Operations

The Desk Upsell Is Costing Operators More Than it Earns
Counter upsells generate revenue, but they can also slow transactions, erode trust, and cost repeat business. Fully inclusive pricing may offer operators a better path to long-term value.
Read More →
U-Save Expands Indian Ocean Presence with New Master Franchise for Mauritius
The franchise has been acquired by Mauritian travel entrepreneur Umarfarooq Omarjee, an established figure in the island's tourism and mobility sector.
Read More →
Global Carsharing Fleet Projected to Reach 768,000 Vehicles By 2030
A new Berg Insight forecast outlines several business models driving the projected growth in public carsharing worldwide through 2029.
Read More →
Rental Car Fleet Sales Show Mid-Year Strength
June gains ensured rental fleets closed out the first half of 2026 in positive territory.
Read More →
Surprice Mobility Opens Corporate Rental Station at Milan Malpensa Airport
The Milan opening is part of Surprice Mobility's broader strategy to expand its corporate operations while increasing the use of technology across its network.
Read More →
Brazilian Executive MBA Targets Growing Domestic Rental Car Industry
Rental car companies face a unique combination of challenges that are rarely addressed in traditional programs.
Read More →
Green Motion Expands Into Japan With Master Franchise Agreement
Japan's tourism industry, business travel market, and demand for vehicle rental services are reasons the country represents an important market for the company.
Read More →
ACRA Carrying Fuller Industry Load As AI and EVs Lurk In Future
The leading car rental professional business group details an active legislative, regulatory, and macro-trends agenda affecting car rental operators.
Read More →
World Cup Travel Data Shows Longer Car Rentals and More One-Ways
A recent analysis of FIFA bookings found varied demand patterns that influenced rental car pricing.
Read More →
A Leveling Force: AI Morphs Into A Rental Car Profit-Seeker
Revenue managers can’t match the emerging AI tools gobbling lots of data that could counter the competitive race to the rate bottom.
Read More →
