Avis Budget Group Announces Intention to Offer $350 Million of Senior Notes

Avis Budget Group Announces Intention to Offer $350 Million of Senior Notes

PARSIPPANY, NJ (STL.News) Avis Budget Group, Inc. (NASDAQ: CAR) (the “Company”) announced today that its wholly-owned subsidiaries, Avis Budget Car Rental, LLC and Avis Budget Finance, Inc. (together, the “Issuers”), intend, subject to market and other customary conditions, to offer $350 million aggregate principal amount of 5.75% senior notes due 2027 (the “Notes”) in a private offering.  The Notes are being offered as additional notes under the Indenture, dated as of July 3, 2019, pursuant to which the Issuers previously issued $400 million aggregate principal amount of 5.75% Senior Notes due 2027.

The Notes will be guaranteed on a senior unsecured basis by Avis Budget Group, Inc. and certain of its U.S. subsidiaries.

The Company intends to use the net proceeds from the Notes offering to redeem the outstanding $100 million in aggregate principal amount of the Issuers’ 5.50% Senior Notes due 2023, with the remainder to be used for general corporate purposes.

The Notes and related guarantees are being offered only to persons reasonably believed to be qualified institutional buyers in reliance on Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”), or, outside the United States, to persons other than “U.S. persons” in compliance with Regulation S under the Securities Act.  The Notes and related guarantees have not been and will not be registered under the Securities Act or the securities laws of any other jurisdiction and may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act.

This press release is for informational purposes only and is not an offer to buy or the solicitation of an offer to sell any securities.  Any offers of the Notes will be made only by means of a private offering memorandum.

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