300 TO 400 WORDS
Please read the attachment below and answer these questions:
- How does the dual-track process used by Ford to initiate “consideration of strategic alternatives” affect the bidding process for Hertz?
- In what ways does Hertz conform or not conform to the definition of an “ideal LBO target”? Do you believe Hertz is an appropriate buyout target?
- Strategically, what value-creating opportunities can the sponsors exploit in this transaction?
- How realistic are the key assumptions that underlie the Bidding Group’s projections in case Exhibits 8, 9, and 10? Which assumptions are most likely to have the largest impact on returns?