24 Hour Fitness Worldwide Prepares for Bankruptcy
Author By Sophia VidaPosted on The coronavirus pandemic has just taken out another company. This time it’s gym chain 24 Hour Fitness Worldwide.
The company, which operates more than 430 clubs across the country, is reportedly preparing to file for bankruptcy, as retailers and other companies navigate the coronavirus pandemic.
According to The Wall Street Journal and Bloomberg, the company is seeking a loan to allow them to keep operating through a restructuring.
Bloomberg reported that 24 Hour Fitness Worldwide has more than $1.3 billion in debt after a buyout by AEA Investors and the Ontario Teachers’ Pension Plan.
The Journal has said that the company plans to close some gyms permanently.
In a statement obtained by USA TODAY, 24 Hour Fitness says they look forward to continue reopening clubs nationwide as coronavirus restrictions are lifted.
“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,” said the company.
The gyms will now introduce new safety features including touch-free check-ins, increased cleanings and signs promoting social distancing.
