NEW YORK --- Cendant Corporation announced in late March that the parent of its vehicle rental business, Cendant Car Rental Group LLC, is planning to offer $1 billion aggregate principal amount of eight- and ten-year senior notes.
Cendant's vehicle rental business, which is expected to change its name to Avis Budget Car Rental LLC, intends to use the net proceeds from this offering, together with term borrowings under a new senior secured credit facility, principally to repay asset-backed vehicle indebtedness, the company said.
The notes will be unsecured and are not guaranteed by Cendant Corporation. The offering of the notes is subject to market and other customary conditions. Consequently, no assurance can be given that the sale of the notes will be ultimately consummated as described or at all. The closing of the sale of the notes is not contingent upon the consummation of Cendant's planned separation transactions.