Avis Budget Group Finishes $650M Asset-Backed Bond Offering
By subscribing, you agree to receive communications from Auto Remarketing and our partners in accordance with our Privacy Policy. We may share your information with select partners and sponsors who may contact you about their products and services. You may unsubscribe at any time.
PARSIPPANY, N.J. –
Avis Budget Group revealed late last week that its Avis Budget Rental Car Funding subsidiary completed an offering of $650 million of asset-backed bonds with a weighted average interest rate of 3.5 percent.
Officials said the proceeds of the offering are expected to be used to refinance ABS debt maturing in 2012. The debt has a blended interest rate of more than 6 percent and a similar advance rate.
“We are very pleased by the strong demand for our asset-backed securities, especially given the increased volatility in the markets of late,” stated David Wyshner, Avis executive vice president and chief financial officer.
“The new asset-backed bonds will enable us to extend a substantial portion of our upcoming debt maturities over five years, and do so on attractive terms,” Wyshner added.
