Gold’s Gym wins confirmation of second amended plan of liquidation

By Caroline Salls

Pittsburgh, Aug. 27 – GGI Holdings, LLC (Gold’s Gym) obtained confirmation of its second amended plan of liquidation, according to an order filed Wednesday with the U.S. Bankruptcy Court for the Northern District of Texas.

Last month, Gold’s Gym received court approval to sell its assets to RSG Group GmbH for $100 million.

Under the plan, administrative claims and priority claims will be paid in full in cash.

First-lien secured claims, debtor-in-possession lender claims and secured tax claims will be paid in full from sale proceeds.

Other secured claims will be paid in full in cash or the holders will receive the collateral securing the claims.

Convenience claims will be paid in full in cash, plus interest.

Holders of general unsecured claims will receive beneficial interests in a liquidating trust to be established under the plan.

Holders of subordinated claims and old equity interests will receive no distribution until all senior claims are paid in full.

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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