Lazydays amended agreements with M&T Bank and Coliseum Holdings to approve the sale of stores and waive liability from specified defaults and events of defaults that occurred or may have occurred.
The amended agreements will enable Lazydays to repay about $15 million in non-floorplan debt from the sale proceeds garnered from selling three stores to General RV and another store to Fun Town RV.
The new agreements enable Lazydays to keep about $14 million from the sale proceeds.
The new agreements were required because the RV dealer chain encountered defaults resulting from:
- The failure to make certain vehicle curtailment payments during the month ended April 30, 2025;
- The failure to make an accrued interest payment in arrears on May 1, 2025;
- The inability to comply with the minimum liquidity financial covenant for the month ended April 30, 2025;
- The failure to pay certain liabilities due to third persons and certain taxes;
- The representation that each of the loan parties and each of their subsidiaries, taken as a whole is, and will remain, solvent, being false when made or deemed made, prior to July 31, 2025; and
- Certain cross-defaults under the Company’s term-loan agreement with Coliseum Holdings I, LLC, as lender (the “Coliseum Lender”) and the Company’s mortgage with First Horizon Bank relating to the foregoing.
Lazydays CEO Ron Fleming said, “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.”
In a filing with the Securities and Exchange Commission, Lazydays’ amended lender agreements include the consent to the sale of the Lazydays store in Claremore, Oklahoma, including the owned real estate with the dealership. By the agreement terms, the Claremore store must sell for at least $7 million for the real estate, $2.1 million for the tangible and intangible assets other than RV inventory, and cash equal to the principal floorplan loan balance for RV inventory under floorplan financing.
The amended agreements also commit the lenders to a floorplan financing line of credit of at least $245 million.
“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,” Fleming said. “We are thankful to our lenders for their ongoing support as we work to achieve these objectives.”
