GNC Holdings reached an agreement with required lender groups to extend the springing maturity dates for certain loans, including its tranche B-2 term loan, FILO term loan and revolving credit facility. According to an 8K filed with the SEC, JPMorgan Chase Bank is the administrative agent.
As previously disclosed, GNC’s tranche B-2 term loan, FILO term loan and revolving credit facility feature springing maturities that, prior to today’s amendments, were to become due on May 16, 2020 if certain conditions were not satisfied. Due to COVID-19 related impacts on its business, GNC expected it would not be able to reduce the amount outstanding under the convertible notes to less than $50 million by May 16, a requirement to avoid the springing maturity.
As a result of discussions with its lenders, GNC entered into amendments to its loan agreements to extend the springing maturity dates for the term loan facility, FILO credit facility and revolving credit facility until Aug. 10, 2020, subject to certain conditions that, if not met, would cause the extended springing maturity date to move forward.
GNC continues to explore all strategic options available to it to refinance and restructure its debt to drive business continuity and protect the long term financial interests of the company and the interests of the company’s key stakeholders.
GNC is a global health and wellness brand.
