Planet Fitness Prices $900 Million Securitized Financing Facility

Planet Fitness
Published: January 26th, 2022

HAMPTON, N.H., Jan. 26, 2022 // PRNewswire // - Planet Fitness, Inc.  (NYSE: PLNT) (together with its subsidiaries, the "Company") today announced that it has priced $900 million of Series 2022-1 Class A-2 Fixed Rate Senior Secured Notes (the "Class A-2 Notes"), which consist of two tranches: the Class A-2-I Senior Secured Notes with an anticipated repayment term of five years, with an aggregate principal amount of $425 million and a fixed interest rate of 3.251% per annum, payable quarterly, and the Class A-2-II Senior Secured Notes with an anticipated repayment term of ten years, with an aggregate principal amount of $475 million and a fixed interest rate of 4.008% per annum, payable quarterly. The Class A-2 Notes are expected to be issued by Planet Fitness Master Issuer LLC (the "Master Issuer"), a limited-purpose, bankruptcy remote, indirect subsidiary of Planet Fitness, Inc. in a privately placed securitization transaction.

In addition to the Class A-2 Notes, the refinancing transaction also includes a $75 million variable funding note facility (the "Variable Funding Notes"), which replaces the Master Issuer's existing variable funding note facility. After closing, all $75 million of the Variable Funding Notes will be drawn.

The proceeds from the expected sale of the Class A-2 Notes will be used as follows:

• the Master Issuer will use a portion of the net proceeds for the repayment in full of approximately $556.3 million in aggregate principal amount of the Series 2018-1 Class A-2-I Notes (together with any accrued and unpaid interest on such Series 2018-1 Class A-2-I Notes),
• to pay the transaction costs and fund the reserve accounts associated with the securitized financing facility, and
• to fund a portion of the previously announced acquisition of Sunshine Fitness in an amount up to $325 million.

The Company expects the Class A-2 Notes and the Variable Funding Notes transactions to close on or around February 10, 2022, subject to satisfaction of various closing conditions. There can be no assurance regarding the timing of closing or that the sale of the Class A-2 Notes will be completed.

This press release does not constitute an offer to sell or the solicitation of an offer to buy the Class A-2 Notes, the Variable Funding Notes or any other security. The Class A-2 Notes and the Variable Funding 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.

SOURCE Planet Fitness