Avis Budget (CAR) Unit Closes $500M of Term Loan Borrowings
Tweet
Share
E-mailGet Alerts CAR Hot Sheet
Join SI Premium – FREE
Avis Budget Group, Inc. (Nasdaq: CAR) announced today that its wholly-owned subsidiary, Avis Budget Car Rental, LLC, has closed an offering of $500 million of term loan borrowings due 2019. The Company intends to use the net proceeds of the offering to repay approximately $420 million of term loan borrowings due in 2014 and 2018 and $75 million of senior notes due in 2014.
The interest rate on the new term loan borrowings ― LIBOR plus 3.25% per annum, subject to a 1% floor ― is nearly two points lower than the interest rate on the debt being repaid. As a result, the Company expects to generate approximately $9 million of corporate interest expense savings annually from the term loan issuance.
The interest rate on the new term loan borrowings ― LIBOR plus 3.25% per annum, subject to a 1% floor ― is nearly two points lower than the interest rate on the debt being repaid. As a result, the Company expects to generate approximately $9 million of corporate interest expense savings annually from the term loan issuance.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Avis Budget Group, Inc. Notice of September 29, 2026 Application Deadline for Class Action Lawsuit - Contact Lewis Kahn, Esq. at Kahn Swick & Foti, LLC, Before Application Deadline
- Avis Budget Group, Inc. Notice of September 29, 2026 Application Deadline for Class Action Lawsuit - Contact Lewis Kahn, Esq. at Kahn Swick & Foti, LLC, Before Application Deadline
- Solowin Holdings marks 10 years, expands into stablecoins and AI
Create E-mail Alert Related Categories
Corporate NewsSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
