23 November 2021
Carey Olsen advises shareholder on stock sale in Hertz re-IPO
Carey Olsen's corporate team in the Cayman Islands has advised a client on the sale of certain shares in Hertz as part of the car rental company's recent re-IPO.
After emerging from bankruptcy protection in June, Hertz rental cars has returned to the Nasdaq. The pricing of its upsized public offering of 44,520,000 shares of its common stock, to be sold by certain stockholders of Hertz, was set at a price to the public of $29.00 per share. Of the shares offered, Hertz expects to repurchase from the underwriters 10,344,828 shares having an aggregate purchase price of $300 million at the price to the public in the offering. In addition, a selling stockholder has granted the underwriters a 30-day option to purchase up to an additional 6,678,000 shares of Hertz common stock.
Hertz, which was forced to file for bankruptcy in early 2020 as a result of the impact of the pandemic on the demand for car rentals, received none of the proceeds of the shareholders' offering, which raised US$1.3 billion.
The Carey Olsen team advising the shareholder on the Cayman law aspects of the stock sale and re-IPO comprised partner Nick Bullmore and counsel Dylan Wiltermuth.