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Pure Gym to push forward with expansion despite failed merger

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Low cost operator Pure Gym plans to banish the blues of its failed merger with The Gym Group by foraging ahead with a substantial expansion, possibly aided by further attempted acquisitions.

In the wake of yesterday’s news that the two operators would no longer pursue a merger, Pure Gym has outlined plans to open a further 20 gyms by the end of 2014, taking the chain’s total number of sites up to 90.

The chain expects to have 430,000 members by the end of this year and hopes this can be the launchpad for further growth, with founder and CEO Peter Roberts outlining the vision of nearly doubling the number of Pure Gym sites by the end of 2015.

“We are continuously looking for new sites throughout the UK and are still interested in future acquisitions of smaller gym groups with the vision of having 130 gyms open by the end of 2015,” said Roberts.

“We are also looking to expand our portfolio in Europe where we are currently the second largest budget fitness operator, as well as other countries outside of Europe.“

Of the proposed merger with The Gym Group, which hit the skids after the Competition and Markets Authority (CMA) expressed concern that combining the businesses may lead to "higher gym membership prices or a reduction in quality and choice for customers," Roberts was philosophical.

“We still believe that our planned merger with The Gym Group would have provided more availability of affordable fitness to the people of the UK,” he added.

“However with the delay of the process we came to an amicable decision with The Gym Group to be independent companies and continue with our rapid growth strategy. We wish their team all the success with their future plans.”

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Low cost operator Pure Gym plans to banish the blues of its failed merger with The Gym Group by foraging ahead with a substantial expansion, possibly aided by further attempted acquisitions.
HAF,PUB
Pure Gym founder and CEO Peter Roberts is undeterred by the setback
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