CHANHASSEN, Minn., Sept. 23,
2024 /PRNewswire/ -- Life Time Group Holdings, Inc.
("Life Time," "we," "our," "us," or the "Company") (NYSE: LTH)
today announced that its wholly-owned subsidiary, Life Time, Inc.,
has completed the refinancing of its revolving credit facility.
Under the terms of the amended facility, the Company:
- Increased the commitments under the revolving credit facility
from $475 million to $650 million;
- Reduced the floating interest rate per annum by 100 basis
points to Term Secured Overnight Financing Rate ("SOFR") plus an
applicable margin of 2.50%;
- Reduced the undrawn commitment fee rate to 25 basis points;
and,
- Extended the maturity of the revolving credit facility to
September 2029, subject to the same
springing maturity based on the Company's secured and unsecured
notes.
- Additionally, the applicable margin of 2.50% will decrease up
to 50 basis points upon the Company achieving certain first lien
net leverage ratio and credit rating targets.
In connection with the refinancing, the Company borrowed under
the revolving credit facility and paid the remaining aggregate
principal amount of approximately $200
million outstanding under its term loan facility that had an
interest rate of SOFR plus 4.00%. No borrowings under the term loan
facility remain outstanding.
Erik Weaver, Executive Vice
President and Chief Financial Officer, stated: "We're
pleased to complete this first step in refinancing our long-term
debt. We believe the strength of our business and the progress
we've made toward achieving our financial objectives put us in a
great position not only to execute this successful refinancing, but
also to address our outstanding secured and unsecured notes in the
coming months. We remain excited about the opportunities in front
of us."
About Life Time
Life Time (NYSE: LTH) empowers people
to live healthy, happy lives through its portfolio of more than 175
athletic country clubs across the United
States and Canada. The
health and wellness pioneer also delivers a range of healthy way of
life programs and information via its complimentary Life Time
Digital app. The Company's healthy living, healthy aging, healthy
entertainment communities and ecosystem serve people 90 days to 90+
years old and is supported by a team of more than 45,000 dedicated
professionals. In addition to delivering the best programs and
experiences through its clubs, Life Time owns and produces nearly
30 of the most iconic athletic events in the country.
Forward-Looking Statements
This press release includes
"forward-looking statements" within the meaning of federal
securities regulations. Forward-looking statements in this press
release include, but are not limited to, the Company's plans,
strategies and prospects, both business and financial, including
its priorities for 2024, growth, and improvements to its balance
sheet. These statements are based on the beliefs and assumptions of
the Company's management. Forward-looking statements are inherently
subject to risks, uncertainties and assumptions. Generally,
statements that are not historical facts, including statements
concerning the Company's possible or assumed future actions,
business strategies, events or results of operations, are
forward-looking statements. These statements may be preceded by,
followed by or include the words "believe," "expect," "anticipate,"
"intend," "plan," "estimate" or similar expressions. In addition,
any statements or information that refer to expectations, beliefs,
plans, projections, objectives, performance or other
characterizations of future events or circumstances, including any
underlying assumptions, are forward-looking.
Factors that could cause actual results to differ materially
from those forward-looking statements included in this press
release include, but are not limited to, risks relating to our
business operations and competitive and economic environment, risks
relating to our brand, risks relating to the growth of our
business, risks relating to our technological operations, risks
relating to our capital structure and lease obligations, risks
relating to our human capital, risks relating to legal compliance
and risk management and risks relating to ownership of our common
stock and the other important factors discussed under the caption
"Risk Factors" in the Company's Annual Report on Form 10-K for the
year ended December 31, 2023, filed
with the Securities and Exchange Commission (the "SEC") on
February 28, 2024, (File No.
001-40887), as such factors may be updated from time to time in the
Company's other filings with the SEC, which are accessible on the
SEC's website at www.sec.gov. These and other important
factors could cause actual results to differ materially from those
indicated by the forward-looking statements made in this press
release. Any forward-looking statement that the Company makes in
this press release speaks only as of the date of such statement.
Except as required by law, the Company does not have any obligation
to update or revise, or to publicly announce any update or revision
to, any of the forward-looking statements, whether as a result of
new information, future events or otherwise.
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SOURCE Life Time Group Holdings, Inc.