S&P: Vanguard Car Rental unchanged

Standard & Poor's said its ratings and outlook on Vanguard Car Rental USA Holdings Inc. (B+/stable) are not immediately affected by Vanguard's S-1 filing for an IPO.

The agency said that Vanguard's financial profile is weaker than those of its major competitors, Hertz Corp. (BB-/Watch negative), a company that has also filed an S-1 for an IPO and Avis Budget Car Rental LLC (BB+/stable).

While Vanguard will use proceeds to reduce debt and increase its currently small equity base of only around $300 million, its debt to capital will still be around 90%, among the highest in the industry, the agency noted.

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