Hertz Announces Completion of $350 Million of Exchangeable Senior First-Lien Secured PIK Notes

Key Terms

pik notes financial

PIK notes are loans that let the borrower pay interest by issuing more debt instead of cash, so investors receive extra securities rather than cash payments. For investors this matters because it can boost returns if the issuer grows, but it also increases the company’s total debt and the risk of not getting cash back; think of lending money and getting an IOU that keeps growing instead of regular interest checks.

exchangeable senior first-lien secured notes financial

A debt instrument that pays interest and must be repaid but can be exchanged for another company’s shares under preset terms; being senior and first-lien means holders have top priority for repayment and a legal claim on specific collateral if the issuer defaults. For investors this matters because these notes typically offer greater protection than unsecured debt thanks to collateral and repayment priority, while also carrying potential upside (and dilution) if converted into stock—combining bond-like safety with an equity option, like a mortgage that can be swapped for ownership in a house.

form 8-k regulatory

A Form 8-K is a report that companies file with the government to share important news quickly, such as changes in leadership, major business deals, or financial updates. It matters because it helps investors stay informed about significant events that could affect the company's value or stock price.

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Successful offering highlights continued confidence in strategy and execution

ESTERO, Fla.--(BUSINESS WIRE)-- Hertz Global Holdings, Inc. (NASDAQ: HTZ) (“Hertz” or the “Company”), a leading global rental car company, today announced that its wholly-owned indirect subsidiary, The Hertz Corporation (“Hertz Corp.”), has completed an offering of $350 million aggregate principal amount of its 6.75% Exchangeable Senior First-Lien Secured PIK Notes due 2030 (the “Exchangeable Notes”). The initial purchasers of the Exchangeable Notes have the option to purchase up to an additional $50 million aggregate principal amount of the Exchangeable Notes for settlement within a period of 13 calendar days from, and including, the date the Exchangeable Notes are first issued.

With the completion of this offering, the Company has further strengthened its position by enhancing its liquidity, providing greater financial flexibility to support its ongoing corporate transformation.

“As we continue to transform and grow Hertz, this offering enhances our financial flexibility heading into our peak season,” said Scott Haralson, Chief Financial Officer at Hertz. “We are pleased with the investor interest in the offering, which reflects confidence in our strategy and our ability to execute. We remain focused on disciplined capital management and further strengthening of our balance sheet.”

For additional details, please refer to the Company’s Form 8-K filing with the U.S. Securities and Exchange Commission.

ABOUT HERTZ

Hertz Global Holdings, Inc. is one of the world’s leading car rental and mobility solutions providers. Its subsidiaries, including The Hertz Corporation, and licensees operate the Hertz, Dollar, Thrifty, and Firefly vehicle rental brands, with more than 11,000 rental locations in 160 countries around the globe. The Company also operates the Hertz Car Sales brand, which offers a range of quality, competitively priced used cars for sale online and at locations across the United States, and the Hertz 24/7 car-sharing business in Europe.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS

This press release contains “forward-looking statements” within the meaning of the federal securities laws. Words such as “expect,” “will” and “intend” and similar expressions identify forward-looking statements, which include but are not limited to statements related to our positioning, strategy, vision, forward looking investments, conditions in the travel industry, our financial and operational condition, our sources of liquidity, the offering of the Notes, the offering of the Borrowed Shares, and Hertz Corp.’s expected use of proceeds from the proposed offering. We caution you that these statements are not guarantees of future performance and are subject to numerous evolving risks and uncertainties that we may not be able to accurately predict or assess, including risks and uncertainties related to completion of the offering on the anticipated terms or at all, market conditions (including market interest rates) and the satisfaction of customary closing conditions related to the offering, unanticipated uses of capital and those in our risk factors that we identify in the offering memorandum for the offering and our most recent annual report on Form 10-K for the year ended December 31, 2025, as filed with the U.S. Securities and Exchange Commission on February 26, 2026, and any updates thereto in the Company’s quarterly reports on Form 10-Q and current reports on Form 8-K. We caution you not to place undue reliance on our forward-looking statements, which speak only as of their date, and we undertake no obligation to update this information.

View source version on businesswire.com: https://www.businesswire.com/news/home/20260629719447/en/

Hertz Investor Relations: investorrelations@hertz.com
Hertz Media Relations: Mediarelations@hertz.com

Source: Hertz Global Holdings, Inc.