Moody’s rates Life Time loans, notes B3

Moody’s Investors Service said it assigned B3 ratings to Life Time Inc.’s proposed extended senior secured credit facility and a B3 rating to its proposed $750 million of senior secured notes due 2026.

Moody’s said it downgraded Life Time’s ratings, including its corporate family rating to Caa1 from B3 and probability of default rating to Caa1-PD from B3-PD.

Concurrently, Moody’s downgraded the rating for Life Time’s senior secured first-lien bank credit facility to B3 from B2 and the rating for the company’s senior unsecured notes to Caa3 from Caa2.

“The downgrade reflects worsening credit metrics due to continued disruptions from the coronavirus and Moody’s expectation that credit metrics will remain weak over the next year. Despite reopening most of its gyms after the spring lockdown, Life Time had to re-close gyms in certain states in recent months due to state mandates to help contain increasing coronavirus cases,” Moody’s said in a press release.

The outlook is stable.

© 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.