Hertz Global Holdings Inc. can go ahead with its plan to raise cash by selling new shares that the bankrupt car-rental company readily concedes could end up worthless.
Judge Mary Walrath ruled during a bankruptcy court hearing Friday that Hertz can proceed with the offering, which the company has said could bring in as much as $1 billion. It’s seeking to take advantage of the recent improbable rally in its shares, which could help Hertz resolve the massive debts that forced it into bankruptcy.
