Icahn Acquires 6.78% Stake In Hertz; Seeks Talks On Holder Value
Hertz Global Holdings (NYSE: HTZ) shares fell Wednesday on news that activist investor Carl Icahn and his affiliates acquired a 6.78 percent stake.
Ichan, in a filing, said "intend to have discussions" the company regarding "shareholder value, accounting issues, operational failures, under performance" and Icahn's "lack of confidence in management.'
Icahn, who said he may also seek representation on Hertz' board "if appropriate," began assembling the stake in June and continued buying through earlier Wednesday.
The stake totals 38.8 million shares acquired for a $470.5 million.
Hertz on Tuesday withdrew its 2014 financial outlook and said results will be "well below" its previous guidance.
Shares were trading at a 52-week high Tuesday of $30.95 a share and opened sharply lower Wednesday.
Hertz closed at $30.33 a share and lost $0.12 cents early in the extended session.
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