It's over people. HTZ to be delisted next week.
15 replies (most recent on top)
Stock way up today. This is pure wackiness as DIP financing makes it that much more unlikely in my opinion the common shares get any recovery after clearing bankruptcy.
NYSE should have delisted rather than allow this madness- more scrutiny to follow, and the loan only delays the reality- liquidation.
Ya think it's good news that a broke and poorly run company takes on more debt?
Apollo's DIP loan is a super-high interest rate short-term loan of the highest priority. DIP loans are for operations. DIP financing creditors are (usually) not interested in the company. If Apollo wanted to buy HTZ, they would. Apollo earns a considerable low-risk return even if HTZ fails.—And technically HTZ does have the cash to repay the loan.Double entry accounting: Credit DIP loan, Debit Cash.(a) HTZ will be successful and earn enough to repay Apollo's DIP loan, or(b) HTZ will not be successful and liquidates to repay Apollo's DIP loan. It's debtor-in-possession financing. This just means that Apollo et al. are displacing some of the other creditors. The stock itself is going to zero in the longer term. All this positive trajectory is a short term play for day traders, but the reality is that eventual liquidation has only been delayed a few more quarters.
No delisting but a huge loan coming. Any other bad and bitter comment?
Something negative to say against this company that is trying to get out from a difficult situation?
Hertz has its appeal before the NYSE’s general counsel today. The exchange has previously decided to delist Hertz, but members are entitled to an appeal. The burden of proof is on Hertz go prove why a bankrupt and cash burning company should continue to be listed when all other bankrupt companies have been delisted. I smell a delisting announcement.
Hertz filled the leaderships ranks with people with no industry experience. None. Every Single top and mid level position, zero industry experience. And did this for the better part of last 7 years. And told us the way to run car rental was with people with airline experience, retail experience, etc. What arrogance. Is anyone surprised? Look at you now. One hot mess.
In today's world corporate brands alone are not worth much. Yes the name Hertz has some familiarity, but will not command much. The company will be not exist in 2 years. Even the name will be retired. What going concern would want to be associated with this enormous failure of the past 7 years.
The rental car G** is correct. Hertz will not be able to generate money without investors from the open market. This means a higher amount of DIP financing will be required and potentially more of the company will be given up. Forget future bonuses. They might reinstate the pay raises to keep people from leaving. However, 2021 will be beyond difficult for Hertz. Only thing remaining is the brand name itself but it will purchased at discount.
By the way, the board of directors s— and should all be fired. The Hillbilly is just that and doesn't know anything about running a company. Google any Walmart leader that is running a major company.
Delisting on the horizon soon. If a listed stock closes or ends the trading day below $1 for 30 consecutive days, it is a candidate for delisting or removal from NYSE trading. The NYSE typically suspends trading in the stock after the 30th day that it averages below $1 per share. The trajectory is evident that delisting will occur by March. No active market for HTZ will spook the sophomoric robinhood losers and the HTZ will be worth at most 22 cents a share in early 2021.
Only fools will continue to play roulette and hold this stock.
This guy is a liar. Putting up news from June 12
shout out to the schmucks that boasted about investing thousands of dollars in HTZ stock.
spin doctors working on how to present delisting as a positive story. reminds me of that one time where C11 was the best thing to happen to us. or hillbilly CEO statement “we can start with a clean slate” which is kinda hard to do when we have negative earnings and billions of debt crushing us.
hertzstrong. only thing we are strong at is brainwashing and fraud. great case study for business schools that our leadership never attended.
Delisting coming next Thursday– 7 days from now. If you haven't been through a delisting before, here's what to expect. Hertz will no longer trade on the New York Stock Exchange, where there is an active market being made in the stock. Hertz will go to an "over-the-counter" model where liquidity will dry up. Before it hits OTC, Hertz will probably decline by 80 percent or more. It means HTZ shares will be at 35 cents in a few weeks.
The delisting review of the original decision will take place on the 15th.
https://ir.theice.com/press/news-details/2020/New-York-Stock-Exchange-Announces-Date-of-Review-of-Decision-to-Remove-Hertz-Global-Holdings-Inc-HTZ-From-the-List/default.aspx
The bankruptcy process is the reasoning for this step. This was an issue mid year (google it) but it was tabled for a later discussion. NYSE has the right to delist any company going through C11. Clearly they don't see a strong enough financial reason to keep Hertz listed.
Now we can still buy and sell Hertz stock but it's not over the counter.
So not sure if this is true but it's a real possibility.
Source?
my boss told me that it they're going to withdrawal from the bankruptcy process. is that not true?