Hertz will continue the process of negotiating the terms on which its plan of reorganization will be sponsored without delaying its goal of exiting Chapter 11 by early to mid-summer.
Hertz filed its proposed plan of reorganization and related disclosure statement with the U.S. Bankruptcy Court for the District of Delaware. Knighthead Capital Management and Certares Opportunities will serve as the plan sponsors.
Hertz entered into a stock and asset purchase agreement to sell substantially all of the assets of its wholly-owned subsidiary, Donlen Corporation, a fleet management and financing provider, to Athene Holding for an anticipated cash payment of $825 million before adjustments.
Hertz secured commitments for debtor-in-possession financing totaling $1.65 billion. Moelis & Co. is serving as investment banker, while FTI Consulting is serving as Hertz’s financial advisor and White & Case is serving as legal advisor.
Deloitte Corporate Finance acted as the exclusive financial advisor to Florida-based Hertz in the divestiture of the company’s Brazil operations to Localiza Rent a Car, the largest car rental network in South America.