Hertz Abandons Controversial $500M Stock Sale, Seeks Bankruptcy Loan


27% profit every 20 days?

This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.


Hertz Global Holdings Inc. (NYSE:HTZ) on Thursday in a filing with the United States Securities and Exchange Commission said it had abandoned a plan to raise $500 million in a stock offering.

SEC Review Led To Sale Abandonment

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The bankrupt car rental company noted it "determined that it was in the best interests of the Company to terminate" the sale.

The move follows the SEC's Division of Corporate Finance notice about reviewing the sale of the shares.

Hertz was looking to raise fresh funding for its business restructuring plan. The company warned investors that the shares were likely to become worthless at the end of the restructuring.

Hertz Looks For Bankruptcy Loan

As the stock sale is abandoned, the company is instead looking for bankruptcy loans, the Wall Street Journal reported later in the day.

Hertz has approached a group of top lenders, including hedge funds, for a loan that could extend up to $1 billion, people familiar with the matter told the Journal.

Price Action

Hertz shares closed 10% lower at $1.80 on Thursday. The shares dropped another 2.8% in the after-hours session at $1.75.

Image: Wikimedia


27% profit every 20 days?

This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.


Posted In: NewsPenny StocksOfferingsSECMediabankruptcycar rentalsThe Wall Street Journal