(Bloomberg) -- Car Inc., one of China’s biggest car rental firms, is in discussion with banks for a potential syndicated loan, said people familiar with the matter.
The loan could have a size of at least $500 million, and carry a tenor of between three to five years, the people said, asking not to be identified as the matter is private. The financing hasn’t been finalized and could change as negotiations continue, the people said.
Car Inc., backed by private equity firm MBK Partners Ltd., may not provide any collateral to back the proposed loan, the people said. If the financing goes through, proceeds may be used for working capital and dividend recapitalization purposes, the people added.
Car Inc. didn’t immediately respond to requests seeking comment.
MBK Partners in July 2021 completed the acquisition and privatization of Car Inc., in a deal valued at approximately $1.1 billion, according to a statement from Clifford Chance, which acted as adviser to the PE firm.
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