Life Time Debt Upgraded by Moody's; Company Closes on $45 Million Sale-Leaseback Transaction

Rhea-AI Summary

Moody's upgrades Life Time Group Holdings' issuer credit rating to 'B2' from 'B3', citing improving performance and steps to reduce leverage. Company closes $45 million sale-leaseback transaction, completing all $123 million of previously announced transactions.

Positive

• Moody's upgrade reflects improving performance and steps to reduce leverage
• Company closes $45 million sale-leaseback transaction

Negative

• None.

CHANHASSEN, Minn., Aug. 24, 2023 /PRNewswire/ -- Life Time Group Holdings, Inc. ("Life Time" or the "Company") (NYSE: LTH) today announced that Moody's Investor Service ("Moody's") has upgraded the Company's issuer credit rating to 'B2' from 'B3'. As reasons for the upgrade, Moody's cited the Company's improving performance, including membership, revenue and EBITDA trends, and steps the Company is taking to continue to improve its balance sheet and reduce leverage.

The Company also announced today that it has closed on a sale-leaseback transaction for approximately $45 million in gross proceeds. The transaction involved one property and was with an institutional real estate investor that has completed multiple sale-leaseback transactions with the Company. The Company has now closed on all of the $123 million of previously announced sale-leaseback transactions through August 24, 2023.

About Life Time

Life Time (NYSE: LTH) empowers people to live healthy, happy lives through its portfolio of more than 165 athletic country clubs across the United States and Canada. The Company's healthy way of life communities and ecosystem address all aspects of healthy living, healthy aging and healthy entertainment for people 90 days to 90+ years old. Supported by a team of more than 35,000 dedicated professionals, Life Time is committed to providing the best programs and experiences through its clubs, iconic athletic events and comprehensive digital platform.

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SOURCE Life Time Group Holdings, Inc.