Avis Budget raises $650M in fleet-backed notes

Avis Budget Group, through its Avis Budget Rental Car Funding (AESOP) LLC subsidiary, issued $650 million of asset-backed securities on June 9, 2026.

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Form Type

8-K

Rhea-AI Filing Summary

Avis Budget Group, through its Avis Budget Rental Car Funding (AESOP) LLC subsidiary, issued $650 million of asset-backed securities on June 9, 2026. The financing is split between Series 2026-3 and Series 2026-4 notes with maturities of three and five years.

Series 2026-3 includes $182.50 million of Class A notes at 4.82%, $23.75 million of Class B at 5.21%, $16.25 million of Class C at 5.50%, and $27.50 million of Class D at 6.96%. Series 2026-4 includes $292 million of Class A at 5.09%, $38 million of Class B at 5.48%, $26 million of Class C at 5.87%, and $44 million of Class D at 7.67%.

ABRCF also issued subordinated risk-retention Class R notes of $13.75 million for Series 2026-3 at 8.429% and $22 million for Series 2026-4 at 9.134%, held by subsidiary AESOP Leasing L.P. The notes are secured by vehicles in the company’s domestic fleet and related assets under an existing Base Indenture structure.

Insights

Avis Budget raises $650M via fleet-backed ABS across multiple tranches.

Avis Budget Group is using its rental vehicle fleet and related assets to secure $650 million in Series 2026-3 and 2026-4 asset-backed notes. Tranches span from Class A to Class D, with coupons ranging from 4.82% to 7.67% across three- and five-year maturities.

Additional subordinated Class R notes total $13.75 million at 8.429% for Series 2026-3 and $22 million at 9.134% for Series 2026-4, held by AESOP Leasing L.P. to meet U.S. risk retention rules. The structure relies on the existing Base Indenture with The Bank of New York Mellon Trust Company, N.A. as trustee.

The secured nature of the notes ties investors’ exposure to performance of the domestic fleet assets. Future disclosures in company filings may provide more detail on how this financing interacts with broader capital structure and fleet investment plans.

8-K Event Classification

3 items: 1.01, 2.03, 9.01

3 items

Item 1.01 Entry into a Material Definitive Agreement Business

The company signed a significant contract such as a merger agreement, credit facility, or major partnership.

Item 2.03 Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement Financial

The company incurred a new significant debt or off-balance-sheet obligation.

Item 9.01 Financial Statements and Exhibits Exhibits

Financial statements, pro forma financial information, or exhibit attachments filed with this report.

Key Figures

Total ABS issuance: $650 million asset-backed securities Series 2026-3 Class A: $182.50 million at 4.82% Series 2026-4 Class A: $292 million at 5.09% +4 more

7 metrics

Total ABS issuance $650 million asset-backed securities Issued June 9, 2026 by Avis Budget Rental Car Funding (AESOP) LLC

Series 2026-3 Class A $182.50 million at 4.82% Aggregate principal amount of Series 2026-3 Class A notes

Series 2026-4 Class A $292 million at 5.09% Aggregate principal amount of Series 2026-4 Class A notes

Series 2026-3 subordinated Class R $13.75 million at 8.429% Risk-retention Class R notes for Series 2026-3 held by AESOP Leasing L.P.

Series 2026-4 subordinated Class R $22 million at 9.134% Risk-retention Class R notes for Series 2026-4 held by AESOP Leasing L.P.

Series 2026-3 mezzanine and junior tranches $23.75M B 5.21%, $16.25M C 5.50%, $27.50M D 6.96% Coupon rates and sizes for Series 2026-3 Classes B, C, and D

Series 2026-4 mezzanine and junior tranches $38M B 5.48%, $26M C 5.87%, $44M D 7.67% Coupon rates and sizes for Series 2026-4 Classes B, C, and D

Key Terms

asset-backed securities, Base Indenture, risk retention rules, Class R notes, +1 more

5 terms

asset-backed securities financial

"ABRCF issued $650 million of asset-backed securities with a maturity of three years and five years"

A type of investment created by pooling many similar cash‑flowing assets — like mortgages, car loans, or credit card receivables — and selling slices of that bundle to investors who then receive the payments those assets generate. Think of it as a fruit basket where buyers earn the fruit sales: investors get steady income but also take on the risk that the underlying loans stop performing or are paid off early. Investors care because these securities can provide predictable yield, portfolio diversification, and varying levels of credit and liquidity risk depending on the quality of the underlying assets.

Base Indenture financial

"to the Second Amended and Restated Base Indenture, dated as of June 3, 2004"

risk retention rules regulatory

"which were issued to comply with applicable U.S. risk retention rules"

Class R notes financial

"ABRCF also issued $13.75 million aggregate principal amount of Series 2026-3 8.429%, Class R notes"

aggregate principal amount financial

"comprised of $182.50 million aggregate principal amount of Series 2026-3 4.82%, Class A notes"

The aggregate principal amount is the total amount of money borrowed through a bond or loan that the borrower promises to repay. It’s like the original price tag on a loan or bond, showing how much money is involved in the deal. This number matters because it indicates the size of the debt and helps investors understand the scale of the borrowing.

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What financing did Avis Budget Group (CAR) complete on June 9, 2026?

Avis Budget Group completed a $650 million asset-backed securities issuance through its Avis Budget Rental Car Funding subsidiary. The deal includes Series 2026-3 and 2026-4 notes with three- and five-year maturities, secured by vehicles in its domestic rental fleet and related assets.

How is the $650 million Avis Budget Group (CAR) ABS transaction structured?

The transaction is split into Series 2026-3 and 2026-4 notes, each with Class A, B, C, and D tranches. Coupons range from 4.82% to 7.67%, reflecting different seniority levels, and all are secured by domestic fleet vehicles and related assets under a long-standing Base Indenture.

What are the details of Avis Budget Group’s (CAR) Series 2026-3 ABS notes?

Series 2026-3 includes $182.50 million Class A at 4.82%, $23.75 million Class B at 5.21%, $16.25 million Class C at 5.50%, and $27.50 million Class D at 6.96%. These notes are issued by Avis Budget Rental Car Funding and secured by domestic fleet vehicles and related assets.

What are the key terms of Avis Budget Group’s (CAR) Series 2026-4 ABS notes?

Series 2026-4 includes $292 million Class A at 5.09%, $38 million Class B at 5.48%, $26 million Class C at 5.87%, and $44 million Class D at 7.67%. These tranches form part of a broader $650 million asset-backed financing backed by the company’s domestic fleet assets.

What are the Class R notes in Avis Budget Group’s (CAR) 2026 ABS deal?

Class R notes are subordinated risk-retention tranches: $13.75 million for Series 2026-3 at 8.429% and $22 million for Series 2026-4 at 9.134%. They are held by AESOP Leasing L.P. to comply with U.S. risk retention rules and sit below Classes A through D in priority.

Which assets secure the new Avis Budget Group (CAR) asset-backed notes?

The notes are secured by vehicles in Avis Budget Group’s domestic rental fleet and other related assets. This collateral is pledged under the Second Amended and Restated Base Indenture, with The Bank of New York Mellon Trust Company, N.A. serving as trustee and series agent.

AI-generated analysis. How Rhea-AI works. Not financial advice.

Understanding 8-K Material Events →

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Accepted by SEC EDGAR 06/12/2026 - 04:05 PM EDT

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of Earliest Event Reported): June 9, 2026

Avis Budget Group, Inc.

(Exact name of registrant as specified in its charter)

Delaware		001-10308		06-0918165
(State or Other jurisdiction of incorporation)		(Commission File Number)		(I.R.S. Employer Identification No.)

379 Interpace Parkway

Parsippany, NJ

07054

(Address of Principal Executive Offices)

(Zip Code)

(973) 496-4700

(Registrant’s telephone number, including area code)

N/A

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2.):

☐

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐

Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐

Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐

Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of Each Class		Trading Symbol(s)		Name of Each Exchange on Which Registered
Common Stock, par value $0.01		CAR		The Nasdaq Global Select Market

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 1.01

Entry into a Material Definitive Agreement.

On June 9, 2026 (the “Closing Date”), our Avis Budget Rental Car Funding (AESOP) LLC subsidiary (“ABRCF”) issued $650 million of asset-backed securities with a maturity of three years and five years, respectively, comprised of $182.50 million aggregate principal amount of Series 2026-3 4.82%, Class A notes, $23.75 million aggregate principal amount of Series 2026-3 5.21%, Class B notes, $16.25 million aggregate principal amount of Series 2026-3 5.50%, Class C notes and $27.50 million aggregate principal amount of Series 2026-3 6.96%, Class D notes, as well as $292 million aggregate principal amount of Series 2026-4 5.09%, Class A notes, $38 million aggregate principal amount of Series 2026-4 5.48%, Class B notes, $26 million aggregate principal amount of Series 2026-4 5.87%, Class C notes and $44 million aggregate principal amount of Series 2026-4 7.67%, Class D notes. ABRCF also issued $13.75 million aggregate principal amount of Series 2026-3 8.429%, Class R notes and $22 million aggregate principal amount of Series 2026-4 9.134%, Class R notes, each of which are subordinated to the Class A notes, the Class B notes, the Class C notes and the Class D notes of the respective Series, and which were issued to comply with applicable U.S. risk retention rules. The Class R notes are held by our AESOP Leasing L.P. subsidiary. The notes were issued under the Series 2026-3 Supplement, dated as of the Closing Date, between ABRCF and The Bank of New York Mellon Trust Company, N.A., as trustee and Series 2026-3 Agent (the “Series 2026-3 Supplement”), to the Second Amended and Restated Base Indenture, dated as of June 3, 2004 (as amended, the “Base Indenture”) and the Series 2026-4 Supplement, dated as of the Closing Date, between ABRCF and The Bank of New York Mellon Trust Company, N.A., as trustee and Series 2026-4 Agent (the “Series 2026-4 Supplement”), to the Base Indenture, respectively.

The notes are secured under the Base Indenture by vehicles in our domestic fleet and other related assets. The foregoing summary of the notes is qualified in its entirety by reference to the full text of the Series 2026-3 Supplement, a copy of which is attached hereto as Exhibit 10.1, and the Series 2026-4 Supplement, a copy of which is attached hereto as Exhibit 10.2, each of which is incorporated by reference herein.

Certain purchasers of the notes, the trustee and their respective affiliates have performed, and may in the future perform, various commercial banking, investment banking and other financial advisory services for us and our subsidiaries for which they have received, and will receive, customary fees and expenses.

Item 2.03

Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant.

The information described above under Item 1.01 of this report is incorporated into this Item 2.03 by reference.

Item 9.01

Financial Statements and Exhibits.

The following exhibits are filed as part of this report:

Exhibit No.		Description

10.1		Series 2026-3 Supplement, dated as of June 9, 2026, between Avis Budget Rental Car Funding (AESOP) LLC and The Bank of New York Mellon Trust Company, N.A., as trustee and as Series 2026-3 Agent.

10.2		Series 2026-4 Supplement, dated as of June 9, 2026, between Avis Budget Rental Car Funding (AESOP) LLC and The Bank of New York Mellon Trust Company, N.A., as trustee and as Series 2026-4 Agent.

104		Cover Page Interactive Data File (embedded within the Inline XBRL document).

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	AVIS BUDGET GROUP, INC.


	By:	/s/ Jean M. Sera
	Name:	Jean M. Sera
	Title:	Senior Vice President, General Counsel, Chief Compliance Officer and Corporate Secretary

Date: June 12, 2026

Source: View Original Filing on SEC EDGAR

Filing Exhibits & Attachments

5 documents

Avis Budget raises $650M in fleet-backed notes

Rhea-AI Filing Summary