Bankruptcy Among Options as 24 Hour Fitness Reopens

Brock Fritz Headshot

Gyms across the United States are navigating unforeseen circumstances as they reopen amid the COVID-19 pandemic.

Bloomberg’s Katherine Doherty reported Friday that 24 Hour Fitness Worldwide Inc. is preparing for a potential Chapter 11 bankruptcy filing “to cut its debt as it re-opens locations across the country with precautions in place for social distancing.”

“We are considering a broad range of options to ensure the long term sustainability and success of 24 Hour Fitness and we are not going to comment publicly on our strategic plans,” 24 Hour Fitness said in a statement to Bloomberg.

Related content: 24 Hour Fitness Members Frustrated After Closures

Doherty reported that 24 Hour Fitness, which is headquartered in San Ramon, Calif., was struggling financially before gyms nationwide were forced to close in March. The company has more than $1.3 billion of debt due to a 2014 leveraged buyout by AEA Investors and the Ontario Teachers’ Pension Plan.

The company has started opening some of its 430 gyms with new health guidelines, and is talking with investors about a loan that would keep 24 Hour Fitness operating during a court restructuring.

USA Today reported in early May that Gold’s Gym filed for Chapter 11 bankruptcy protection.

Related content: Gold’s Gym Closes About 30 Fitness Centers

Page 1 of 466
Next Page
Buyer's Guide
Information on more than 3,000 companies, sorted by category. Listings are updated daily.
Learn More
Buyer's Guide
AB Show 2024 in New Orleans
AB Show is a solution-focused event for athletics, fitness, recreation and military professionals.
Nov. 19-22, 2024
Learn More
AB Show 2024