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.
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SOURCE GNC Holdings, Inc.