Publications
Publications
- February 2022 (Revised March 2022)
- HBS Case Collection
Hertz in Bankruptcy: A Wild Ride in Pandemic Times
Abstract
Hertz filed for Chapter 11 bankruptcy in response to asset-backed securities (ABS) obligations and the COVID-19 pandemic. Enthusiastic Robinhood investors and shrewd negotiating tactics helped Hertz stabilize. Roughly nine months into the bankruptcy, Hertz received several bids to reorganize the company. Now, key Hertz advisors William Derrough and Tom Lauria must decide (i) whether the valuations implied by these bids are high enough, (ii) how they can negotiate higher valuations, and (iii) when to exit bankruptcy.
Keywords
Bankruptcy Reorganization; COVID-19 Pandemic; Insolvency and Bankruptcy; Health Pandemics; Valuation; Capital Structure; Negotiation; Private Equity; Travel Industry; United States
Citation
Antill, Samuel, Stuart Gilson, and Kristin Mugford. "Hertz in Bankruptcy: A Wild Ride in Pandemic Times." Harvard Business School Case 222-064, February 2022. (Revised March 2022.)