RERMAG

Hertz to Go Public This Week

Hertz Global Holdings is set to go public this week on the New York Stock Exchange for proceeds of about $1.43 billion. The company is offering about 88.2 million shares from $16 to $18, with the $1.43 billion total assuming a $17 midpoint price.

The Park Ridge, N.J.-based company was acquired in December from Ford Motor Co. for $5.6 billion in cash and assumption of $10 billion in debt by a group of private equity companies including Clayton, Dubilier & Rice; Carlyle Group and Merrill Lynch Global Private Equity. Proceeds from the offering will be used to repay debt and to pay related transaction fees and expenses. The company will pay a special cash dividend of about $1.83 per share before the offering, with the bulk going to the equity funds, which also received a payout of $991.2 million in a special dividend in June.

Hertz’ stock will trade under the symbol HTZ.

Hertz operates car rental businesses at about 7,600 locations in 145 countries, and has about 265 equipment rental branches in North America and about 95 in Europe. Hertz Equipment Rental Corp. is No. 3 on the RER 100.

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