Hertz Global Holdings, Inc. (HTZ) saw its stock plummet 5.22% in after-hours trading on Thursday, following reports that the company is looking to raise more debt to boost its cash position. This sharp decline comes on the heels of a significant surge earlier in the day, when the stock soared on news of Bill Ackman's Pershing Square Capital Management acquiring a substantial stake in the company.

According to Bloomberg News, Hertz is seeking to increase its debt load, a move that has sparked concerns among investors about the company's financial health. This development appears to have overshadowed the positive sentiment generated by Ackman's investment, which had driven the stock up by 56% during regular trading hours.

The contrasting market reactions highlight the complex situation Hertz finds itself in. While Ackman's involvement suggested confidence in the company's future, with the investor stating that Hertz is "uniquely well-positioned" and that improvements by management will "significantly improve profit margins," the need for additional debt has raised questions about the company's current financial standing and growth strategy.