Gold’s Gym secures final court approval of $20 million DIP facility

By Caroline Salls

Pittsburgh, June 1 – GGI Holdings, LLC (Gold’s Gym) received final court approval to obtain $20 million in debtor-in-possession financing, according to an order filed Friday with the U.S. Bankruptcy Court for the Northern District of Texas.

The DIP financing will be provided by GGI’s majority owner, TRT Holdings, Inc., or its TRT Debt Funding, LLC affiliate.

The facility is scheduled to mature on Aug. 1, subject to an extension to allow a confirmed plan to take effect.

Interest will accrue at Libor plus 1,000 basis points. The DIP loans will be made with an original issue discount of 2% of the total principal amount.

GGI is a Dallas-based operator of physical fitness facilities. The company filed bankruptcy on May 4 under Chapter 11 case number 20-31318.

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