Simpson Thacher represented Morgan Stanley Senior Funding, Inc., Citigroup Global Markets Inc., Credit Agricole Securities (USA) Inc., The Bank of Nova Scotia and RBS Securities Inc. as joint lead arrangers and joint bookrunners in connection with approximately $1.4 billion of committed financing for the $1.0 billion acquisition of Avis Europe plc by Avis Budget Group, Inc. (the “Company”). In addition, Simpson Thacher represented Morgan Stanley & Co. LLC as representative of the initial purchasers of $250.0 million 9.75% Senior Notes due 2020 issued by Avis Budget Car Rental, LLC (“ABCR”) and Avis Budget Finance, Inc., each a wholly owned subsidiary of the Company, in connection with the acquisition. The acquisition was effected through a scheme of arrangement under Part 26 of the UK Companies Act 2006 in the United Kingdom, and was subject to the “certain funds” and “cash confirmation” requirements for a public bid in the United Kingdom under the City Code on Takeovers and Mergers.
Avis Budget Group, Inc. is a leading global provider of vehicle rental services through its Avis and Budget brands, with 10,000 rental locations in approximately 175 countries around the world following the acquisition of Avis Europe plc. Prior to the completion of the acquisition, Avis Europe plc had been an independently-owned licensee of the Company, operating the Avis and Budget brands in Europe, the Middle East and Africa since 1986.
The Simpson Thacher team includes Justin Lungstrum, Stephen Short, Jackie Kahng, Clare Cottle, Stephanie Rotter and Andrew Wolstan (Credit); Michael Nathan, Estella Chen, Kate Yoon, Darwon Choe and Vanessa Clark (Capital Markets); Adam Signy and Clare Gaskell (M&A); Timothy Mulvihill (Environmental); Grace Lin (Executive Compensation and Employee Benefits); Julie Levy and Scott Dyer (Labor); Marcela Robledo (Intellectual Property); Andrew Pagliughi (Blue Sky); and Jonathan Cantor, Danny Salinas and Sean Austin (Tax).