Pentwater funds (NASDAQ: CAR) boost Avis Budget stake via option exercises

Rhea-AI Filing Summary

Pentwater Capital-managed funds increased their indirect stake in Avis Budget Group through derivative exercises. On 2026-03-20, the funds exercised a series of in-the-money put options to acquire multiple blocks of Common Stock, including 1,236,300 shares at $110 per share and additional tranches at $120, $125, $130 and $110. Following these acquisitions, the reported indirect holdings rose to 7,108,300 shares of Common Stock. Over the same period, several short call option positions with strike prices between $150 and $310 per share expired, removing those derivative obligations. All positions are held by Pentwater Funds advised by Pentwater Capital Management LP, and both Pentwater and Matthew Halbower disclaim beneficial ownership beyond any pecuniary interest.

Insights

Hedge fund positioning analyst

Pentwater funds exercised derivatives to deepen equity exposure, while short calls expired.

The reporting shows Pentwater-managed funds using in-the-money put options on Avis Budget Group to acquire sizeable blocks of Common Stock at strike prices from $110 to $130. This converts derivative exposure into direct equity while leaving no remaining derivatives in this filing.

Simultaneously, multiple short call option positions with strike prices from $150 to $310 expired, eliminating those obligations. The net effect is a cleaner, larger indirect common stock position of 7,108,300 shares, with no open-market buying or selling disclosed.

The filing is made by Pentwater Capital Management LP and Matthew Halbower for funds they advise, and they expressly disclaim beneficial ownership beyond any pecuniary interest. The economic and voting impact ultimately depends on the Pentwater Funds’ broader portfolio context, which is outside this disclosure.

SEC Form 4

FORM 4

UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP

Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934
or Section 30(h) of the Investment Company Act of 1940

OMB APPROVAL

OMB Number:			3235-0287
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hours per response:			0.5

Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).

Check this box to indicate that a transaction was made pursuant to a contract, instruction or written plan for the purchase or sale of equity securities of the issuer that is intended to satisfy the affirmative defense conditions of Rule 10b5-1(c). See Instruction 10.

1. Name and Address of Reporting Person^*

Pentwater Capital Management LP

(Last) (First) (Middle)

1001 10TH AVENUE SOUTH

SUITE 216

(Street)

NAPLES FLORIDA 34102

(City) (State) (Zip)

UNITED STATES

(Country)

2. Issuer Name and Ticker or Trading Symbol
AVIS BUDGET GROUP, INC. [ CAR ]

5. Relationship of Reporting Person(s) to Issuer
(Check all applicable)

	Director	X	10% Owner
	Officer (give title below)		Other (specify below)

2a. Foreign Trading Symbol

3. Date of Earliest Transaction (Month/Day/Year)
03/20/2026

6. Individual or Joint/Group Filing (Check Applicable Line)

	Form filed by One Reporting Person
X	Form filed by More than One Reporting Person

4. If Amendment, Date of Original Filed (Month/Day/Year)

Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned
1. Title of Security (Instr. 3)	2. Transaction Date (Month/Day/Year)	2A. Deemed Execution Date, if any (Month/Day/Year)	3. Transaction Code (Instr. 8)		4. Securities Acquired (A) or Disposed Of (D) (Instr. 3, 4 and 5)			5. Amount of Securities Beneficially Owned Following Reported Transaction(s) (Instr. 3 and 4)	6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	7. Nature of Indirect Beneficial Ownership (Instr. 4)
			Code	V	Amount	(A) or (D)	Price
Common Stock, par value $0.01 per share ("Common Stock")	03/20/2026		X		1,236,300	A	$110	6,673,600	I	See footnote(1)
Common Stock	03/20/2026		X		376,600	A	$120	7,050,200	I	See footnote(1)
Common Stock	03/20/2026		X		53,800	A	$125	7,104,000	I	See footnote(1)
Common Stock	03/20/2026		X		4,300	A	$130	7,108,300	I	See footnote(1)
Common Stock	03/20/2026		X		60,000	D	$110	7,048,300	I	See footnote(1)

Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned (e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security (Instr. 3)	2. Conversion or Exercise Price of Derivative Security	3. Transaction Date (Month/Day/Year)	3A. Deemed Execution Date, if any (Month/Day/Year)	4. Transaction Code (Instr. 8)		5. Number of Derivative Securities Acquired (A) or Disposed of (D) (Instr. 3, 4 and 5)		6. Date Exercisable and Expiration Date (Month/Day/Year)		7. Title and Amount of Securities Underlying Derivative Security (Instr. 3 and 4)		8. Price of Derivative Security (Instr. 5)	9. Number of derivative Securities Beneficially Owned Following Reported Transaction(s) (Instr. 4)	10. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	11. Nature of Indirect Beneficial Ownership (Instr. 4)
				Code	V	(A)	(D)	Date Exercisable	Expiration Date	Title	Amount or Number of Shares
Put Option (obligation to buy)	$110	03/20/2026		X			12,363	(2)	03/20/2026	Common Stock	1,236,300	$0	0	I	See footnote(1)
Put Option (obligation to buy)	$120	03/20/2026		X			3,766	(2)	03/20/2026	Common Stock	376,600	$0	0	I	See footnote(1)
Put Option (obligation to buy)	$125	03/20/2026		X			538	(2)	03/20/2026	Common Stock	53,800	$0	0	I	See footnote(1)
Put Option (obligation to buy)	$130	03/20/2026		X			43	(2)	03/20/2026	Common Stock	4,300	$0	0	I	See footnote(1)
Put Option (right to sell)	$110	03/20/2026		X			600	(2)	03/20/2026	Common Stock	60,000	$0	0	I	See footnote(1)
Call Option (obligation to sell)	$150	03/20/2026		E			600	(2)	03/20/2026	Common Stock	60,000	$0	0	I	See footnote(1)
Call Option (obligation to sell)	$150	03/20/2026		E			11,138	(2)	03/20/2026	Common Stock	1,113,800	$0	0	I	See footnote(1)
Call Option (obligation to sell)	$240	03/20/2026		E			1,000	(2)	03/20/2026	Common Stock	100,000	$0	0	I	See footnote(1)
Call Option (obligation to sell)	$260	03/20/2026		E			12,303	(2)	03/20/2026	Common Stock	1,230,300	$0	0	I	See footnote(1)
Call Option (obligation to sell)	$270	03/20/2026		E			6,150	(2)	03/20/2026	Common Stock	615,000	$0	0	I	See footnote(1)
Call Option (obligation to sell)	$280	03/20/2026		E			8,350	(2)	03/20/2026	Common Stock	835,000	$0	0	I	See footnote(1)
Call Option (obligation to sell)	$290	03/20/2026		E			3,700	(2)	03/20/2026	Common Stock	370,000	$0	0	I	See footnote(1)
Call Option (obligation to sell)	$310	03/20/2026		E			100	(2)	03/20/2026	Common Stock	10,000	$0	0	I	See footnote(1)

1. Name and Address of Reporting Person^*

Pentwater Capital Management LP

(Last) (First) (Middle)

1001 10TH AVENUE SOUTH

SUITE 216

(Street)

NAPLES FLORIDA 34102

(City) (State) (Zip)

UNITED STATES

(Country)

Relationship of Reporting Person(s) to Issuer

	Director	X	10% Owner
	Officer (give title below)		Other (specify below)

1. Name and Address of Reporting Person^*

Halbower Matthew

(Last) (First) (Middle)

1001 10TH AVENUE SOUTH

SUITE 216

(Street)

NAPLES FLORIDA 34102

(City) (State) (Zip)

UNITED STATES

(Country)

Relationship of Reporting Person(s) to Issuer

	Director	X	10% Owner
	Officer (give title below)		Other (specify below)

Explanation of Responses:

1. This Form 4 is filed by Pentwater Capital Management LP ("PCM") and Matthew Halbower ("Mr. Halbower") (collectively, the "Reporting Persons") with respect to securities held by certain funds (the "Pentwater Funds") to which PCM serves as investment adviser. Mr. Halbower is the sole shareholder of MCH PWCM Holdings Inc., the general partner of PCM. Each of the foregoing disclaims beneficial ownership in the securities reported on this Form 4 except to the extent of its or his pecuniary interest, if any, therein, and this report shall not be deemed to be an admission that such Reporting Person is the beneficial owner of such securities for purposes of Section 16 or for any other purpose.

2. Exercisable at any time.

	/s/ Pentwater Capital Management LP, By: /s/ MCH PWCM Holdings Inc., General Partner, By: Matthew Halbower, Chief Executive Officer	03/24/2026
	/s/ Matthew Halbower	03/24/2026
	** Signature of Reporting Person	Date
Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.
* If the form is filed by more than one reporting person, see Instruction 4 (b)(v).
** Intentional misstatements or omissions of facts constitute Federal Criminal Violations See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
Note: File three copies of this Form, one of which must be manually signed. If space is insufficient, see Instruction 6 for procedure.
Persons who respond to the collection of information contained in this form are not required to respond unless the form displays a currently valid OMB Number.
* Form 4: SEC 1474 (03-26)

FAQ

What did Pentwater Capital report in this Form 4 for Avis Budget Group (CAR)?

Pentwater Capital reported that funds it advises exercised in-the-money put options on Avis Budget Group to acquire multiple blocks of Common Stock, raising their reported indirect holdings to 7,108,300 shares, while several short call option positions expired on March 20, 2026.

How many Avis Budget Group (CAR) shares do the Pentwater Funds hold after these transactions?

After the derivative exercises on March 20, 2026, the Pentwater Funds’ reported indirect holdings in Avis Budget Group Common Stock increased to 7,108,300 shares. This figure reflects the position following the last reported acquisition transaction in the Form 4 data.

Were these Pentwater Capital transactions in Avis Budget Group (CAR) open-market buys or sells?

The reported transactions were derivative exercises and expirations, not open-market buys or sells. The funds exercised in-the-money put options to acquire Common Stock and allowed several short call options to expire, according to the Form 4 data and transaction codes disclosed.

What option strikes did Pentwater Funds exercise to acquire Avis Budget Group (CAR) stock?

The Pentwater Funds exercised in-the-money put options with strike prices of $110, $120, $125 and $130 per share. These exercises resulted in the acquisition of multiple Common Stock blocks at those strike prices rather than through open-market purchases.

Did Pentwater Capital close any short call positions on Avis Budget Group (CAR)?

Yes. The Form 4 shows several short call option positions on Avis Budget Group with strike prices from $150 to $310 per share reaching expiration. These are coded as derivative expirations, meaning those obligations ended on March 20, 2026.

How is beneficial ownership described for Pentwater Capital and Matthew Halbower in this Avis Budget (CAR) filing?

The filing states the securities are held by certain Pentwater Funds advised by Pentwater Capital Management LP. Pentwater and Matthew Halbower disclaim beneficial ownership of the reported securities except to the extent of any pecuniary interest they may have.