Restructuring Support Agreement Approved by Approximately 73% of Prepetition Secured Lenders
24 Hour Fitness (the “Company”), an industry-leading fitness brand for over 35 years, today announced that it has entered into a restructuring support agreement (the “RSA”) with lenders beneficially holding approximately 73% of the Company’s secured debt and approximately 65% of the Company’s senior unsecured notes on the terms of a comprehensive restructuring plan (the “Plan”). The RSA sets forth terms for a financial restructuring that will reduce approximately $1.2 billion dollars of funded debt, provide increased financial flexibility to help navigate through the Coronavirus (COVID-19) pandemic, and better position 24 Hour Fitness for long-term success.
24 Hour Fitness is continuing to reopen clubs and welcome members and guests in locations nationwide as allowed by state and local governments. During this process, the health and safety of 24 Hour Fitness team members, club members, guests, and club communities remain