Car-rental company Hertz announced that it will uplist to the NASDAQ after trading on the over-the-counter OTCPK market in a 44,520,000 share IPO today. The shares listed under the NADAQ HTZ ticker will be available to the public at a price of $29.00 per share.
Hertz has said it will buy back approximately $300 million of the stocks which are being offered by particular shareholders of the company.
Hertz had a record 3Q21 of $860 million Adjusted Corporate EBITDA up 134% from 3Q19 increasing revenue per unit per month by 35% to $1,573 per month in the same period. The company expects to end 2021 with approximately $4 billion in liquidity and $2 billion in EBITDA.
In its 3Q21 investor presentation Hertz emphasizes that its iconic brand, global distribution network and low capital costs for vehicle acquisition have enabled strategic relations with Tesla, Uber and Carvana, accelerating the company’s EV transition.
The end of October Hertz ordered 100,000 Tesla EVs for its fleet. The relation with Uber allows drivers to rent a Tesla vehicle with Hertz and then drive it for the Uber platform. Finally the relation with Carvana gives Hertz a channel to dispose of cars being rotated out of its fleet and optimize fleet management.
The rental company had approximately 473,000 cars in service at the end of October.