Equinox Holdings Inc. got relief on some of its debts tied to the luxury fitness chain’s SoulCycle subsidiary after agreeing to pay down a portion of the borrowings, Bloomberg News reported. Equinox, backed by billionaire Stephen Ross’s Related Cos., reached a deal that releases it from a limited guarantee of SoulCycle’s $265 million credit facility with lender HPS Investment Partners. As part of the deal, Equinox will also add additional protections to its borrowings. Equinox struck a forbearance deal with HPS last May to delay the payment deadline until Feb. 15. Equinox’s guarantee originally required it to buy back at least part of SoulCycle’s obligations if the spin studios’ debt relative to earnings exceeded certain thresholds. The new agreement releases Equinox Holdings from certain debt requirements, though another unit of the company still guarantees the obligations.
