Advantage Rent a Car Ex-Owner Wins Initial Approval to Liquidate

Hertz spinoff Advantage Holdco Inc. will wind down after a bankruptcy judge gave preliminary approval to the rental car company’s liquidation plan.

The plan creates a liquidating trust to pay Advantage’s creditors. The trust will be funded with $750,000 to $1 million in cash and litigation rights that weren’t included in an earlier asset sale, Andrew Layden of Baker & Hostetler LLP, representing the unsecured creditors committee, said at a hearing Friday.

The company’s equity holders get nothing under the plan. Advantage’s debtor-in-possession lenders will put the proceeds from the sale of “certain residual assets” into the liquidating trust. ...