Hertz Global (OTCMKTS:HTZGQ) stock is revving up on Friday following reports of the bidding war for the bankrupt company heating up.
According to the Wall Street Journal, Knighthead Capital Management LLC and Certares Management LLC are back again with an updated offer for the company. The offer reportedly has them valuing HTZGQ at $6.2 billion.
This offer outdoes the $5.5 billion for Hertz Global that was reportedly made by an investment group backed by Centerbridge Partners LP, Warburg Pincus LLC, and Dundon Capital Partners LLC. It’s unclear if this group will return with another offer to outdo the newest one.
What we do know is that Apollo Global Management Inc. (NYSE:APO), which is backing Hertz Global, is assisting with this newest deal. It reportedly plans to offer up to $2.5 billion in equity financing as part of the agreement. That would be enough to cover all of the company’s debt, which would go a long way toward helping its restructuring efforts.
The Hertz Global bankruptcy saga has been going on for almost a year now. The company has been on a wild ride since then with changing leadership, random surges in stock prices, and a switch to over-the-counter trading after its stock was booted off of the New York Stock Exchange.
Even with all this to take into account, some investors are still rooting for HTZGQ stock. Case in point, the company moving more than 20 million on Friday as of this writing. That’s quite the jump over its daily average trading volume of 6.6 million shares.
HTZGQ stock was up 34.2% as of Friday afternoon.
Of course, investors that love dangerous investments do have other options.
Quite a few penny stocks have been seeing major movement lately. Most of these are due to movement from Reddit boards. That includes IAMGOLD Corp (NYSE:IAG), Inpixon (NASDAQ:INPX), Sundial Growers (NASDAQ:SNDL), and more. Investors can catch up on the latest penny stocks news below.
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On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article.
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