GNC Holdings Inc (NYSE:GNC) Announces Financial Restructuring


Dallas, Texas 11/27/2013 (Financialstrend) – GNC Holdings Inc (NYSE:GNC) known for some of the better known products in the wellness products and proprietary health products has announced new stock purchase program.

In a press release, GNC Holdings has reported that the Board of Directors has endorsed a financial agreement which will now allow the company to control more stock and in turn more funds. While announcing the repurchase program, the Chairman, President and CEO of GNC Holdings, Joe Fortunato reported that this was part of the continuing process of sharing higher returns with investors. Capital restructuring has been the core of the repurchasing program.

The program spread over several years, includes the repurchase of $500 million stocks of the company belonging to the Class A stock segment. The endorsement implies that GNC Holdings can now begin to repurchase stock using cash as well. It has to be noted, that the company has already finished with earlier repurchase authorizations.

New Loan Terms

Additionally, the company has also chosen to increase some of its loans. The first is the Terms loan to the tune of $1,350 million.

The new terms of loan also have time-bound premium pay-out to investors. GNC Holdings will issues a 1% premium of lenders, if a ‘repricing transaction’ were to be executed within the next half-year.

GNC Holdings, Inc. strong fundamentals

GNC Holdings Inc (NYSE:GNC) operates from its headquarters in Pittsburgh and has been in the forefront of introducing wellness products. The company has found a strong connect with users who are increasingly conscious of nutritional requirements. GNC Holdings products are well-received as vitamins, and herbal supplements. In many ways, GNC Holdings strong presence in products targeted at sports enthusiasts has definitely seen growth in the recent past  seasons.  GNC Holdings has definitely found the right mix of products which allow it to be positioned across cross-section of consumer base.

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