Yahoo Finance Blink Fitness Seeks New Financing as It Works to Restructure
(Bloomberg) -- Bankers from Moelis & Co. have been gauging investor interest in providing fresh money to low-cost gym operator Blink Fitness as it works on a restructuring, according to people with knowledge of the matter.
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The company is seeking a liquidity injection — likely in the form of a super-senior loan — to buy itself time as it looks to exit costly leases, said the people, who asked not to be identified discussing a private matter. The financing would be part of a broader operational and balance sheet restructuring, they said.
Blink currently operates about 100 gyms in the US and positions itself as a fitness chain for anyone. The bulk of its locations are in New York City.
The company declined to comment on the potential cash injection. Blink’s focus “remains on meeting our commitments to our valued members and other stakeholders,” a spokesperson said in an email.
A Moelis representative declined to comment.
Blink is owned by Equinox Group, the health-club company better known for its namesake luxury gym chain, along with brands like SoulCyle and Pure Yoga. Equinox itself secured around $1.8 billion in fresh capital in March to refinance maturing loans and support its growth strategy.
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