Hertz Global Holdings plans to exit Chapter 11 bankruptcy in June 2021 and has completed all required court filings to do so, the company announced this week. 

Hertz filed for Chapter 11 bankruptcy in May 2020. In its most recent earnings call, Hertz officials said the company’s goal was to exit bankruptcy by mid-to-late summer.

Amid ongoing negotiations regarding sponsorship of the company’s reorganization plan, Hertz is contemplating proposals from two different groups of equity capital providers, according to the car rental company. One plan—preferred by Hertz—includes a $4.2 billion equity infusion from affiliates of Certares Opportunities LLC and Knight Head Capita Managements LLC to fund payment in cash in full of all senior claims and a 70 percent payout to the company’s unsecured creditors. The other plan, which was provided before the March 1 filling, would have Centerbridge Partners, L.P., Warburg Pincus LLC, and Dundon Capital Partners provide equity capital as needed.

Under the current terms of each proposal, Hertz would have approximately $1.3 billion of corporate debt, be provided with over $2 billion of global liquidity, satisfy all debt obligations associated with Hertz’s European business and obtain a new asset-backed securitization facility that would pay in full all existing obligations related to Hertz’s U.S. vehicle fleet and provide funding needed to meet Hertz’s ongoing fleet requirements. 

“Once the proposals have been finalized and we receive further input from our creditors, we will work with our financial and legal advisors to quickly determine which of these excellent options will fund our plan,” said Hertz president and CEO Paul Stone in a statement. “We remain committed to completing the reorganization process in the second quarter and emerging from Chapter 11 well positioned for the upcoming summer season.”

Hertz will finalize the proposals, consult with its stakeholders to select a plan sponsor and amend its court filings accordingly in the coming days, according to the company. Bankruptcy court hearings are scheduled for April 16.