The car-rental giant opened at US$26.25 after pricing 44.5 million shares at US$29 apiece Monday
The debut marks a striking turnaround around for Hertz, which traces its roots to 1918 and today has thousands of locations around the world under the Hertz, Dollar and Thrifty brands. The company was forced to file for bankruptcy in early 2020, after the COVID-19 pandemic sapped demand for rentals. It emerged from Chapter 11 about five months ago under the ownership of a group that includes Knighthead Capital Management, Certares Management and Apollo Global Management Inc.
The company’s shares, which continued to trade over the counter during its bankruptcy, also became favourites for amateur traders that made wild speculative bets during lockdowns.In the run-up to the IPO, Hertz placed an order for 100,000 Teslas as part of an ambitious plan to to electrify its rental-car fleet. It also recruited superstar quarterback Tom Brady as a pitchman.