Life Time Debt Upgraded by S&P Global; Completes Term Loan B Refinancing
Posted: May 9, 2023 in Chains
Life Time – The Healthy Way Of Life Company
CHANHASSEN, MN – Life Time Group Holdings, Inc. (“Life Time” or the “Company”) (NYSE: LTH) announces that S&P Global Ratings (“S&P Global”) has upgraded the Company’s issuer credit rating to ‘B’ from ‘B-‘. As reasons for the upgrade, S&P Global cited improving performance, including membership, revenue and EBITDA trends and steps the Company is taking to continue to improve its balance sheet and reduce leverage.
S&P Global also issued a debt upgrade notice for the Company on January 23, 2023: news.lifetime.life/2023-01-23-Life-Time-Debt-Upgraded-by-S-P-Global
Life Time Group Holdings, Inc. (“Life Time” or the “Company”) (NYSE: LTH) also announces that it has completed the refinancing of its $274 million Term Loan B facility. In addition to extending the maturity to January 15, 2026, the Company increased the facility to $310 million as a result of strong demand.
In connection with this refinancing, the Company’s term loan facility converted from LIBOR to SOFR. The new Term Loan B rate is SOFR plus a credit spread adjustment plus the same 4.75% spread, with a 0.5% SOFR floor and priced at 99.5. The incremental net proceeds will be used by the Company to repay in full the outstanding balance on the Company’s $475 million revolver and for general corporate purposes.
