GNC Announces Private Exchange of Approximately $98.9 Million Aggregate Principal Amount of its Convertible Senior Notes due 2020 for Shares of its Common Stock

Thursday, December 21, 2017 General News
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PITTSBURGH, Dec. 21, 2017 /PRNewswire/ -- GNC Holdings, Inc. (NYSE: GNC) (the "Company"), a leading global specialty health,

wellness and performance retailer, today announced that it has executed exchange agreements with certain holders of its 1.50% Convertible Senior Notes due 2020 (the "2020 Notes") to exchange, in privately negotiated transactions, approximately
$98.9 million
aggregate principal amount of the 2020 Notes for an aggregate of approximately 14.6 million shares of GNC's class A common stock, together with approximately $0.5 million in cash, representing accrued and unpaid interest on the 2020 Notes being exchanged.  The 2020 Notes being exchanged will be retired upon completion of the exchange transactions.  The exchange transactions are expected to close on or about December 26, 2017.

These exchange transactions are part of the Company's strategy to implement measures to optimize GNC's capital structure and enhance shareholder value. In the future we may engage in additional exchange transactions with holders of 2020 Notes for shares of the Company's class A common stock, convertible notes or other consideration. In addition, the Company may, subject to market conditions and other factors, engage in additional financing transactions in the future, which may involve equity, equity-linked or debt securities or loans.

This press release is neither an offer to sell nor a solicitation of an offer to buy any securities described above, nor will there be any offer, solicitation or sale of any securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.

About Us GNC Holdings, Inc. (NYSE: GNC) - headquartered in Pittsburgh, PA - is a leading global specialty health, wellness and performance retailer.

GNC connects customers to their best selves by offering a premium assortment of heath, wellness and performance products, including protein, performance supplements, weight management supplements, vitamins, herbs and greens, wellness supplements, health and beauty, food and drink and other general merchandise. This assortment features proprietary GNC and nationally recognized third-party brands.

GNC's diversified, multi-channel business model generates revenue from product sales through company-owned retail stores, domestic and international franchise activities, third-party contract manufacturing, e-commerce and corporate partnerships. As of September 30, 2017, GNC had approximately 9,000 locations, of which approximately 6,800 retail locations are in the United States (including approximately 2,400 Rite Aid franchise store-within-a-store locations) and franchise operations in approximately 50 countries.

Forward-Looking Statements Involving Known and Unknown Risks and Uncertainties This release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 with respect to the Company's financial condition, results of operations and business that is not historical information. Forward-looking statements can be identified by the use of terminology such as "subject to," "believes," "anticipates," "plans," "expects," "intends," "estimates," "projects," "may," "will," "should," "can," the negatives thereof, variations thereon and similar expressions, or by discussions regarding dividend, share repurchase plan, strategy and outlook. These forward-looking statements include the Company's ability to consummate the exchange transactions described above and its ability to implement measures to optimize its capital structure and enhance shareholder value. While GNC believes there is a reasonable basis for its expectations and beliefs, they are inherently uncertain. The Company may not realize its expectations and its beliefs may not prove correct. Many factors could affect future performance and cause actual results to differ materially from those matters expressed in or implied by forward-looking statements, including but not limited to unfavorable publicity or consumer perception of the Company's products; costs of compliance and any failure on management's part to comply with new and existing governmental regulations governing our products; limitations of or disruptions in the manufacturing system or losses of manufacturing certifications; disruptions in the distribution network; or failure to successfully execute the Company's growth strategy, including any inability to expand franchise operations or attract new franchisees, any inability to expand company-owned retail operations, any inability to grow the international footprint, any inability to expand the e-commerce businesses, or any inability to successfully integrate businesses that are acquired. The Company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. Actual results could differ materially from those described or implied by such forward-looking statements. For a listing of factors that may materially affect such forward-looking statements, please refer to the Company's Annual Report on Form 10-K for the year ended December 31, 2016.

Cision View original content:http://www.prnewswire.com/news-releases/gnc-announces-private-exchange-of-approximately-989-million-aggregate-principal-amount-of-its-convertible-senior-notes-due-2020-for-shares-of-its-common-stock-300574281.html

SOURCE GNC Holdings, Inc.



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