The global health crisis caused by the coronavirus triggered a lot of businesses to shut down while several others to shut down. One of these is the American car rental company Hertz, which has 10,200 corporate and franchise locations worldwide. Following the company's Chapter 11 filing on May 22, it is now selling its fleet at a discounted price.
Hertz continues to offload a substantial number of rental vehicle stock. The company has now listed for sale more than 20,000 used cars, SUVs, and trucks. The offer is very attractive, especially for those looking to save and get good deals.
Roadshow reports that while some of the cars for sale are the models typical of a rental fleet, some are surprising. It notes that the list is not made up of old cars considering that Hertz strives to maintain an updated fleet for its customers. Most of its cars listed for sale hail between 2017 and 2019 model years.
Hertz is offering one of the best deals in town for the BMW 7 Series. The American company is currently offering the luxury sedan with a price that's almost 14% lower than the vehicle's average market value. The price could give the buyer around $6,877 savings a little lesser than the price of Chevrolet Trax, which is currently available on the company's website at a price of $1,714 cheaper than the average model.
The current fleet of the American vehicle rental company is consists of approximately 700,000 rental vehicles, which values have greatly diminished. This is due to the sharp free fall in used car prices because of the current pandemic. Over the weekend, Hertz offered more than 23,000 cars for areas 1,000 miles from the Fort Lauderdale area.
Rental car company Hertz just put dozens of identical yellow 2019 Corvettes up for sale after filing for bankruptcy. Hertz, the second-largest car rental company in the US, has roughly $19 billion of debt.
102 year old… https://t.co/kjWTGRvOwa via https://t.co/HwrEI8hcXO pic.twitter.com/DGFslO3S0t — AutoJosh NG (@AutoJoshNG) May 27, 2020
It includes a 71,000-mile 2017 Hyundai Elantra SE Sedan for only $7,597, reported by iSeeCars.com. Hertz is offering the vehicle at a price that is approximately $1,740 below the average market price. Apart from its rental cars, Hertz is also selling its stocks.
Based on the company's bankruptcy filing, Hertz Global Holdings Inc. amassed over $24 billion in debt at the end of Mar 2020. In the middle of Mar 2020, the company lost all its revenue when travel shut down because of coronavirus, the filing revealed. On Jun 12, 2020, the bankruptcy court approved the company's request to sell 246.8 million unissued shares to Jeffries LLC. This is Hertz's effort to raise $1 billion in new equity.
