Knighthead Capital Management and Certares Management have sweetened an offer to buy Hertz Global Holdings Inc out of bankruptcy in a deal that gives the car rental firm an enterprise value of over $6.2bn, Bloomberg News reported.
The proposal could see equity investors recover $2.25 a share, and Hertz will evaluate it to determine if it is higher than the one from its current reorganisation sponsor, the report said here on Monday, citing people familiar with the matter.
The rival bidding group consists of investment firms Centerbridge Partners, Warburg Pincus and Dundon Capital Partners.
Hertz bondholders will be paid in full, while its shareholders will get a chance to own a bigger portion of the reorganised company, according to the report.
Knighthead will fund $2.2bn of the deal, and private equity company Apollo Global Management has also committed $1.5bn of preferred equity, the report said.
Hertz, Knighthead and Certares did not immediately respond to Reuters requests for comment.
Knighthead Capital Management and Certares Management’s offer valued Hertz Global at $6.2bn, the Wall Street Journal reported last month.
Source: Reuters
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