Hertz Global Adjusts Public Warrants After $380M Exchangeable Note Issuance

What Happened
Hertz Global Holdings, Inc. filed an 8‑K (dated July 23, 2026) reporting that, in connection with The Hertz Corporation’s issuance on June 29, 2026 of $350,000,000 aggregate principal of 6.75% Exchangeable Senior First‑Lien Secured PIK Notes due 2030 (plus $30,000,000 additional notes issued on July 10, 2026 under the initial purchasers’ option), the company notified the warrant agent that an anti‑dilution clause in the public warrant agreement required an adjustment. Effective concurrently, the public warrant exercise price was reduced from $13.61 to $12.81 and the number of common shares issuable per public warrant increased.

Key Details

• Notes issued: $350,000,000 on June 29, 2026, plus $30,000,000 additional notes settled July 10, 2026 (total $380,000,000).
• Notes description: 6.75% Exchangeable Senior First‑Lien Secured PIK Notes due 2030, issued by The Hertz Corporation (a subsidiary).
• Warrant exercise price: decreased from $13.61 to $12.81 per warrant.
• Shares per warrant: increased from 1.0140 to 1.0772 shares of common stock per public warrant.

Why It Matters
The adjustment was triggered by an anti‑dilution provision tied to the new exchangeable notes. For warrant holders, the change means a lower cash exercise price and more shares received per warrant, increasing the potential economic value of each warrant. For common shareholders, the change increases the number of shares that could be issued upon warrant exercise, which can increase potential dilution of existing ownership. Separately, the company’s subsidiary issued $380M of exchangeable PIK notes (6.75% due 2030), which increases funded debt obligations and may influence capital structure and future cash flows.