HAMPTON,
N.H., June 12, 2024 /PRNewswire/ -- Planet
Fitness, Inc. (NYSE: PLNT) (together with its subsidiaries, the
"Company") today announced that it has completed its previously
announced refinancing transaction.
The new series of securitized notes (the "2024 Notes") consist
of $800 million Class A-2 Senior
Secured Notes issued in two tranches: the Class A-2-I Senior
Secured Notes with an anticipated repayment date of five years,
with a principal amount of $425
million and a fixed interest rate of 5.765% per annum,
payable quarterly; and the Class A-2-II Senior Secured Notes with
an anticipated repayment date of ten years, with a principal amount
of $375 million and a fixed interest
rate of 6.237% per annum, payable quarterly.
The proceeds from the placement of the 2024 Notes will be used
as follows:
- to repay in full the Series 2018-1 Class A-2-II Notes, which as
of March 31, 2024, had a principal
balance of approximately $591
million;
- to pay the transaction costs and fund the reserve accounts
associated with the securitized financing facility; and
- for general corporate purposes, which may include funding share
repurchases by the Company.
This press release does not constitute an offer to sell or the
solicitation of an offer to buy the 2024 Notes or any other
security. The 2024 Notes to be offered have not been, and will not
be, registered under the Securities Act of 1933 and may not be
offered or sold in the United
States absent registration or an applicable exemption from
the registration requirements of the Securities Act of 1933.
About Planet Fitness
Founded in 1992 in Dover, NH,
Planet Fitness is one of the largest and fastest-growing
franchisors and operators of fitness centers in the world by number
of members and locations. As of March 31,
2024, Planet Fitness had approximately 19.6 million members
and 2,599 stores in all 50 states, the District of Columbia, Puerto Rico, Canada, Panama, Mexico and Australia. The Company's mission is to enhance
people's lives by providing a high-quality fitness experience in a
welcoming, non-intimidating environment, which we call the
Judgement Free Zone®. More than 90% of Planet Fitness stores are
owned and operated by independent business men and women.
Forward-Looking Statements
This press release contains
"forward-looking statements" within the meaning of the federal
securities laws, which involve risks and uncertainties.
Forward-looking statements include the Company's statements with
respect to the expected use of proceeds from the sale of the Class
A-2 Notes, potential share repurchases and other statements,
estimates and projections that do not relate solely to historical
facts. Forward-looking statements can be identified by words such
as "believe," "expect," "goal," "plan," "will," "prospects,"
"future," "strategy" and similar references to future periods,
although not all forward-looking statements include these
identifying words. Forward-looking statements are not assurances of
future performance. Instead, they are based only on the Company's
current beliefs, expectations and assumptions regarding the future
of the business, future plans and strategies, projections,
anticipated events and trends, the economy and other future
conditions. Because forward-looking statements relate to the
future, they are subject to inherent uncertainties, risks and
changes in circumstances that are difficult to predict and many of
which are outside of the Company's control. Actual results and
financial condition may differ materially from those indicated in
the forward-looking statements. Important factors that could cause
our actual results to differ materially include risks and
uncertainties associated with the Company's ability to consummate
the refinancing transaction on terms acceptable to the Company or
at all, capital markets conditions, the Company's substantial
increased indebtedness as a result of the transaction and its
ability to incur additional indebtedness or refinance that
indebtedness in the future, the Company's future financial
performance and the Company's ability to pay principal and interest
on its indebtedness, competition in the fitness industry, the
Company's and franchisees' ability to attract and retain members,
the Company's and franchisees' ability to identify and secure
suitable sites for new franchise stores, changes in consumer
demand, changes in equipment costs, the Company's ability to expand
into new markets domestically and internationally, operating costs
for the Company and franchisees generally, availability and cost of
capital for franchisees, acquisition activity, developments and
changes in laws and regulations, our substantial increased
indebtedness as a result of our refinancing and securitization
transactions and our ability to incur additional indebtedness or
refinance that indebtedness in the future, our future financial
performance and our ability to pay principal and interest on our
indebtedness, our corporate structure and tax receivable
agreements, failures, interruptions or security breaches of the
Company's information systems or technology, general economic
conditions and the other factors described in the Company's annual
report on Form 10-K for the year ended December 31, 2023, the Company's quarterly report
on Form 10-Q for the quarter ended March 31,
2024, as well as the Company's other filings with the
Securities and Exchange Commission. In light of the significant
risks and uncertainties inherent in forward-looking statements,
investors should not place undue reliance on forward-looking
statements, which reflect the Company's views only as of the date
of this press release. Except as required by law, neither the
Company nor any of its affiliates or representatives undertake any
obligation to provide additional information or to correct or
update any information set forth in this release, whether as a
result of new information, future developments or otherwise. All
forward-looking statements attributable to us are expressly
qualified by these cautionary statements.
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SOURCE Planet Fitness, Inc.