LA Fitness talks $1.5 billion term loan B at Libor plus 400 bps

By Sara Rosenberg

New York, June 13 – LA Fitness International LLC is talking its $1.5 billion six-year covenant-light term loan B (B1/B) at Libor plus 400 basis points with a 1% Libor floor and an original issue discount of 99 to 99½, according to a market source.

The term loan has 101 soft call protection for six months, the source said.

Amortization on the term loan B is 1% per annum.

Commitments are due at 5 p.m. ET on June 20.

Bank of America Merrill Lynch, BNP Paribas Securities Corp. and Barclays are the lead banks on the deal that launched with a bank meeting on Thursday.

Proceeds will be used to refinance existing debt, to fund a one-time repurchase of equity interests and for general corporate purposes.

LA Fitness is an Irvine, Calif.-based health club chain.

© 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.