Hertz Completes Sale Of Donlen To Athene
Hertz Global Holdings, Inc. announced the successful completion of the sale of substantially all of the assets of its wholly-owned subsidiary, Donlen Corporation to Athene Holding Ltd.
A spokesperson said, “Hertz received $891 million in cash proceeds per the terms of the transaction, subject to certain adjustments post-closing based on the level of assumed indebtedness, working capital and fleet equity.
“Moving forward, Athene plans to invest behind the Donlen platform to support the continued growth and strength of the business. As a leading insurance company with more than $200 billion of assets under management, Athene provides a stable and long-term capital base, which will allow Donlen to expand capabilities, grow the team, and continue the Company’s award-winning customer service.”
Hertz President and CEO Paul Stone said, “Hertz is very pleased with the successful outcome of the sale process for Donlen, which marks another significant accomplishment in our financial restructuring. We are pleased to have maximized Donlen’s value and are making excellent progress on our financial and operational initiatives as we reposition Hertz for the future. We wish the entire Donlen team continued success under Athene’s ownership.”
Athene Chairman and CEO Jim Belardi said, “We are confident that pairing Donlen’s expertise in fleet management with Athene’s strategic investment will result in a positive outcome for all parties involved. With our support, Donlen will be able to enhance their client experience and continue to grow their presence as a fleet management leader. This investment is squarely in line with our strategy of sourcing attractive, differentiated long-term investments that deliver strong and consistent returns for our growing portfolio. We look forward to partnering with Tom and the rest of Donlen’s management team to help position the company for long-term success.”
Donlen President Tom Callahan said, “I want to thank our dedicated employees for their commitment to providing best-in-class service to our customers. We are thrilled to gain the confidence and support of Athene, who believes deeply in our business and our people. Donlen will be even better positioned for the future as an industry leader with Athene’s investments in our proprietary tools, data management capabilities, and our focus on exceptional customer service, and we look forward to a bright future together.”
White & Case LLP served as Hertz’s legal advisor, Moelis & Company LLC served as investment banker, and FTI Consulting served as Hertz’s financial advisor.
