Planet Fitness, Inc. announced that it has completed its previously announced refinancing transaction. Proceeds will be used to retire debt.
The new series of securitized notes consist of $750 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 $400 million and a fixed interest rate of 5.274 percent per annum, payable quarterly; and the Class A-2-II senior secured notes with an anticipated repayment date of seven years, with a principal amount of $350 million and a fixed interest rate of 5.649 percent per annum, payable quarterly.
In addition, the 2025 notes include a revolving financing facility that allows for the issuance of up to $75 million in variable funding notes, in addition to the existing $75 million 2022-1 variable funding senior secured notes, Class A-1. As of the closing, none of the variable funding notes have been drawn.
The proceeds from the placement of the 2025 notes will be used as follows:
- to repay in full the Series 2022-1 Class A-2-I notes, which as of September 30, 2025, had a principal balance (together with accrued and unpaid interest thereon) of approximately $410 million;
- to pay the transaction costs and fund the reserve accounts associated with the securitized financing facility; and
for general corporate purposes, including funding share repurchases by the company.
