Moody's rates Planet Fitness facility B1

Moody's Investors Service said it assigned a B1 corporate family rating and B2-PD probability of default rating to Planet Fitness Holdings LLC.

The agency also assigned a B1 rating to the company's proposed $430 million senior secured bank credit facility that includes a $40 million five-year revolver and $390 million term loan B.

The outlook is stable.

Moody's said the B1 rating assigned to Planet Fitness' proposed senior secured bank facility is the same as the company's corporate family rating. This reflects the fact that the proposed bank facility represents almost all of the company's pro forma debt capital structure.

Proceeds from the proposed $390 million term loan B will be used to refinance Planet Fitness' existing term loan A due 2017 ($182 million outstanding at Dec. 31), purchase eight clubs from a franchisee, pay a $170 million dividend to its owners and pay fees and expenses. The $40 million revolver will be unfunded at close.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.