24 Hour Fitness Secures $305M Credit Facility

The financing marks a new phase in the gym operator’s ongoing turnaround and growth strategy

24 Hour Fitness has closed a $305 million senior secured credit facility from affiliates of The TCW Group, a move aimed at bolstering liquidity and addressing upcoming debt maturities.

The health and fitness operator said the new financing will support its long-term objectives, including optimizing its club base and maintaining strong cash flow to fund continued investment and innovation.

"This financing is more than just a capital raise — it is a strong endorsement of our business trajectory and operational momentum,” 24 Hour Fitness CEO Karl Sanft said. “It gives us the flexibility to further enhance our club portfolio and member experience. Our leadership team is excited to build on the solid foundation we have created and bring the company to the next level.”

Under Sanft, who took the helm in June 2022, 24 Hour Fitness has prioritized upgrading its existing clubs and improving its financial position while distinguishing itself from HVLP competitors through its premium amenities like pools, spas, steam rooms and saunas.