What was the amount of share repurchases by Dollar Rent A Car in 2023?
Dollar_Rent_A_Car Franchise · 2025 FDDAnswer from 2025 FDD Document
's outstanding common stock. The 2022 Share Repurchase Program, announced on June 15, 2022, has no expiration date, does not obligate Hertz Global to acquire any particular amount of common stock and can be discontinued at any time. However, during the effective period of Amendment No. 8, as disclosed in Note 7, "Debt," in Part II, Item 8 of this 2024 Annual Report, the repurchase of Hertz Global's common stock is not permitted between April 16, 2024
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
through April 1, 2025. As of December 31, 2024, $874 million remains available under the 2022 Share Repurchase Program.
During the year ended December 31, 2023, a total of 19,381,160 shares of Hertz Global's common stock were repurchased in open-market transactions at an average share price of $15.01 for an aggregate purc
Source: Item 23 — RECEIPTS (FDD pages 102–301)
What This Means (2025 FDD)
According to Dollar Rent A Car's 2025 Franchise Disclosure Document, the parent company, Hertz Global Holdings, repurchased shares of its common stock in 2023. During the year ended December 31, 2023, Hertz Global repurchased a total of 19,381,160 shares in open-market transactions. The average share price was $15.01, leading to an aggregate purchase price of $291 million, excluding applicable excise tax. These repurchased common shares are included in treasury stock in Hertz Global's consolidated balance sheets as of December 31, 2024 and 2023. Hertz Global funded these share repurchases with available cash and dividend distributions from Hertz.
These share repurchases were part of the 2022 Share Repurchase Program, which was approved in June 2022 and authorized repurchases of up to $2.0 billion worth of shares of Hertz Global's outstanding common stock. As of December 31, 2024, $874 million remained available under this program. However, during a specific period (Amendment No. 8), share repurchases were not permitted between April 16, 2024, through April 1, 2025. Since the inception of the 2022 Share Repurchase Program, a total of 66,684,169 shares have been repurchased at an average share price of $16.88, totaling $1.1 billion, excluding applicable excise tax.
For a potential Dollar Rent A Car franchisee, this information provides insight into how the parent company, Hertz Global Holdings, manages its equity and uses its financial resources. Share repurchase programs can impact the value of the company's stock and its financial stability, which indirectly affects the franchise system. Monitoring such financial activities can help franchisees understand the financial health and strategies of the parent company.