ESTERO, Fla., Sept. 14, 2016 /PRNewswire/ -- Hertz Global
Holdings, Inc. (NYSE: HTZ) ("Hertz Global" or the
"Company") announced today that its indirect wholly-owned
subsidiary Hertz Holdings Netherlands B.V., a private company with
limited liability incorporated under the laws of the Netherlands (the "Issuer"), has entered
into an agreement to sell €225 million aggregate principal amount
of its 4.125% Senior Notes due 2021 (the "Notes") in a private
offering (the "Offering") exempt from the registration requirements
of the Securities Act of 1933, as amended (the "Securities Act").
The Offering is expected to close on or about September 22,
2016, subject to customary closing conditions.
The Notes will pay interest semi-annually in arrears. The Notes
will be guaranteed on a senior unsecured basis by the Company's
wholly-owned subsidiary, The Hertz Corporation ("Hertz"), the
domestic subsidiaries of Hertz that guarantee its senior credit
facilities from time to time, and certain of the foreign
subsidiaries of Hertz that guarantee its European revolving credit
facility from time to time.
The Issuer expects to receive total gross proceeds of
approximately €225 million ($249
million equivalent as of June 30,
2016) from the issuance of the Notes. The Issuer
intends to use the net proceeds from the issuance of the Notes,
together with available cash, to repay amounts outstanding under
the European revolving credit facility and to finance European
fleet operations.
This press release does not constitute an offer to sell or the
solicitation of an offer to buy any of the Notes (and the
guarantees of the Notes) or any other securities, nor will there be
any sale of the Notes (or any guarantees of the Notes) or any other
securities in any state or other jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or
qualification under the securities laws of any such state or other
jurisdiction. The Notes (and the guarantees of the Notes) will be
issued in reliance on the exemption from the registration
requirements provided by Rule 144A under the Securities Act
and, outside of the United States,
only to non-U.S. investors pursuant to Regulation S under the
Securities Act. None of the Notes and such guarantees have been
registered under the Securities Act or any state or other
jurisdiction's securities laws, and may not be offered or sold in
the United States absent
registration or an applicable exemption from the registration
requirements of the Securities Act and applicable state and other
jurisdiction's securities laws.
ABOUT THE COMPANY
Hertz Global operates the Hertz, Dollar and Thrifty vehicle
rental brands in approximately 10,000 corporate and franchisee
locations throughout North
America, Europe,
Latin America, Africa, the Middle
East, Asia, Australia, and New
Zealand. Hertz Global is one of the largest worldwide
airport general use vehicle rental companies, and the Hertz brand
is one of the most recognized in the world. Product and service
initiatives such as Hertz Gold Plus Rewards, Carfirmations, Mobile
Wi-Fi and unique vehicles offered through the Adrenaline, Dream,
Green and Prestige Collections set Hertz Global apart from the
competition. Additionally, Hertz Global owns the vehicle
leasing and fleet management leader Donlen Corporation, operates
the Hertz 24/7 hourly vehicle rental business in international
markets and sells vehicles through its Rent2Buy program. For more
information about Hertz Global, visit: www.hertz.com.
CAUTIONARY NOTE CONCERNING FORWARD-LOOKING STATEMENTS
Certain statements contained in this press release include
"forward-looking statements." Forward-looking statements include
information concerning our liquidity and our possible or assumed
future results of operations, including descriptions of our
business strategies. These statements often include words such as
"believe," "expect," "project," "potential," "anticipate,"
"intend," "plan," "estimate," "seek," "will," "may," "would,"
"should," "could," "forecasts" or similar expressions. These
statements are based on certain assumptions that we have made in
light of our experience in the industry as well as our perceptions
of historical trends, current conditions, expected future
developments and other factors we believe are appropriate in these
circumstances. We believe these judgments are reasonable, but you
should understand that these statements are not guarantees of
performance or results, and our actual results could differ
materially from those expressed in the forward-looking statements
due to a variety of important factors, both positive and negative,
that may be revised or supplemented in subsequent reports on Forms
10-K, 10-Q and 8-K.
Among other items, such factors could include: the effect of the
debt markets on the Offering; the ability of the Issuer to price
the Offering on the terms and within the timeframe anticipated by
the Issuer; the Issuer's ability to satisfy the closing conditions
to the Offering; any claims, investigations or proceedings arising
as a result of the restatement of our previously issued financial
results; our ability to remediate the material weaknesses in our
internal controls over financial reporting; levels of travel
demand, particularly with respect to airline passenger traffic in
the U.S. and in global markets; the effect of our separation of our
vehicle and equipment rental businesses, any failure by Herc
Holdings Inc. to comply with the agreements entered into in
connection with the separation and our ability to obtain the
expected benefits of the separation; significant changes in the
competitive environment, including as a result of industry
consolidation, and the effect of competition in our markets on
rental volume and pricing, including on our pricing policies or use
of incentives; increased vehicle costs due to declines in the value
of our non-program vehicles; occurrences that disrupt rental
activity during our peak periods; our ability to purchase adequate
supplies of competitively priced vehicles and risks relating to
increases in the cost of the vehicles we purchase; our ability to
accurately estimate future levels of rental activity and adjust the
number and mix of vehicles used in our rental operations
accordingly; our ability to maintain sufficient liquidity and the
availability to us of additional or continued sources of financing
for our revenue earning vehicles and to refinance our existing
indebtedness; our ability to adequately respond to changes in
technology and customer demands; our ability to maintain access to
third-party distribution channels, including current or favorable
prices, commission structures and transaction volumes; an increase
in our vehicle costs or disruption to our rental activity,
particularly during our peak periods, due to safety recalls by the
manufacturers of our vehicles; a major disruption in our
communication or centralized information networks; financial
instability of the manufacturers of our vehicles; any impact on us
from the actions of our franchisees, dealers and independent
contractors; our ability to maintain profitability during adverse
economic cycles and unfavorable external events (including war,
terrorist acts, natural disasters and epidemic disease); shortages
of fuel and increases or volatility in fuel costs; our ability to
successfully integrate acquisitions and complete dispositions; our
ability to maintain favorable brand recognition; costs and risks
associated with litigation and investigations; risks related to our
indebtedness, including our substantial amount of debt, our ability
to incur substantially more debt, the fact that substantially all
of our consolidated assets secure certain of our outstanding
indebtedness and increases in interest rates or in our borrowing
margins; our ability to meet the financial and other covenants
contained in our Senior Facilities, our outstanding unsecured
Senior Notes and certain asset-backed and asset-based arrangements;
changes in accounting principles, or their application or
interpretation, and our ability to make accurate estimates and the
assumptions underlying the estimates, which could have an effect on
earnings; risks associated with operating in many different
countries, including the risk of a violation or alleged violation
of applicable anticorruption or antibribery laws; our ability to
successfully outsource a significant portion of our information
technology services or other activities; changes in the existing,
or the adoption of new laws, regulations, policies or other
activities of governments, agencies and similar organizations where
such actions may affect our operations, the cost thereof or
applicable tax rates; changes to our senior management team and the
dependence of our business operations on our senior management
team; the effect of tangible and intangible asset impairment
charges; our exposure to uninsured claims in excess of historical
levels; fluctuations in interest rates and commodity prices; our
exposure to fluctuations in foreign exchange rates; and other risks
described from time to time in periodic and current reports that we
file with the SEC.
The Company therefore cautions you against placing undue
reliance on forward looking statements. All forward-looking
statements attributable to the Company or persons acting on the
Company's behalf are expressly qualified in their entirety by the
foregoing cautionary statements. All such statements speak
only as of the date made, and the Company undertakes no obligation
to update or revise publicly any forward-looking statements,
whether as a result of new information, future events or
otherwise.
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SOURCE Hertz Global Holdings, Inc.