Lazydays Holdings announced that it has executed amendments and waivers with its credit facility lender syndicate led by M&T Bank and its mortgage lender, an affiliate of Coliseum Capital Management, that will help to enhance the company’s liquidity position and further fortify its financial foundation.
Under the terms of the transactions, Lazydays will retain approximately $14 million of proceeds resulting from its divestures of certain non-core dealerships and associated real estate, and repay approximately $15 million in non-floorplan indebtedness, reducing non-floorplan indebtedness to approximately $44 million and meaningfully lowering interest expense.
The contributing divestitures are as follows:
- Divestiture of dealership in Mesa, Arizona, which closed on May 30
- Divestiture of dealership and related real estate in Fort Pierce, Florida, which closed on June 6
- Divestiture of dealership in Longmont, Colorado, which closed on June 13
- Divestiture of dealership and related real estate in Las Vegas, which is expected to close later this week.
Ron Fleming, CEO of Lazydays, commented, “We are pleased to have reached these agreements with our lenders, which collectively provide Lazydays with a meaningfully enhanced liquidity position and greater flexibility to advance our turnaround strategy. As we continue to work towards building a more resilient company, our focus remains on revitalizing our core dealership operations, while streamlining our footprint and reducing debt through the sale of non-core assets. We are thankful to our lenders for their ongoing support as we work to achieve these objectives.”
Stoel Rives LLP served as legal counsel, and Miller Buckfire, a Stifel Company, and CR3 Partners served as financial advisor to Lazydays and its board of directors in connection with these transactions.
For further information regarding Lazydays’ recent credit agreement and mortgage amendments and waivers, see the company’s Form 8-K filed with the SEC today. For further information regarding the announcement of these divestitures, see the company’s Form 8-Ks filed with the SEC on May 9 and May 23.
