GGI Holdings, LLC and its affiliates, parent company of Gold’s Gym, filed voluntary petitions for relief under Chapter 11 in an effort to facilitate the financial restructuring of the company.

In a statement the company said the pre-negotiated filing will enable it to emerge stronger and ready to grow, and it is our intent to be on the other side of Chapter 11 by August 1, if not sooner.

"The global COVID-19 pandemic spurred us to take immediate action, including the difficult but necessary decision to permanently close about 30 company-owned gyms, to maintain the strength and growth of the potential of the brand as well as ensure the continued viability of the company for decades to come. We have been working with our landlords to ensure that the remaining company-owned gyms reopen stronger than ever coming out of this pandemic," said Gold Gym.

The filing should not impact our licensing division, it is not associated with any of our locally-owned franchise gyms, nor will it prevent us from continuing to support our system of nearly 700 gyms around the world.

"While the COVID-19 pandemic certainly impacted our company-owned gym operations, we expect the filing will have no further impact on current operations," the statement said.

As part of the company’s typical “first-day” restructuring requests, the company will be seeking court approval to continue paying suppliers, vendors, and employees in the ordinary course on a go-forward basis.