Jonathan Stempel
(Reuters) -Hertz Global Holdings on Friday won the rejection of a lawsuit by an order owner who could force a car rental company to owe hundreds of millions of dollars after a series of financing transactions.
Funds associated with Discovery Capital Management allegedly in the last June complaint that Hertz was subjected to “recapitalization of” more billion dollars “between November 2021 and December 2023, which made a change in control, which gave them a $ 187.5 million payment .
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But in a decision on Friday, Judge Eric Davis of the Delaware Chancery’s court dismissed a violation of the request for a means of funds.
He said that Hertz’s $ 3.4 billion in stock buying and $ 2.2 billion in debt issuing, together, did not represent “significant structural changes in Hertz’s capital makeup, which” suggests recapitalization. “
To keep himself different, the judge said, “Excessively inclusive and could give absurd results.”
The discovery lawyers did not immediately respond to the commenting requests. The discovery is based on Norwalk, Connecticut.
Hertz was pleased with the decision.
“As we said in June, this claim was without merit and was not supported by the conditions of the order or market practice language,” Hertz said in a statement.
The case is Master Fund Discovery Global Opportunity LTD et al. Against Hertz Global Holdings Inc, Delaware Chancery Court, no. 2024-0655.
(Reporting Jonathan Stempel in New Yorkinging Marguerita Choy)
