The Gym Group acquires four new sites from rival operator
Leisure Opportunities
Job search
Job Search
see all jobs
Latest job opportunities
énergie group
Dundee, UK
Coach Gyms
£20K Basic circa
Leeds, UK
star job
Central Foundation Girls' School
Scale 5 (Spine point 14) £23,577 actual salary
Bow Road, London, UK
Everyone Active
Frogmore Leisure Centre, Yateley
Sefton Council
£21,589 - £24,799
Bootle, UK

The Gym Group acquires four new sites from rival operator

Job opportunities
training opportunity
Les Mills
location: Nationwide, United Kingdom
more jobs

The Gym Group has exchanged contracts to take over four sites from another operator – thought to be Fitness First – as part of its continued growth.

In its interim report for the first six months of 2016, the company said: “As part of our rollout strategy we have recently exchanged contracts on four sites from another operator that meet our Acquisition criteria and will be fitted out to our high specifications. The four sites following assignment of the leases, closure and fit out are likely to open in Q1 2017.”

A non-disclosure agreement is in place regarding the acquisition.

As reported in Health Club Management on Sunday, Dave Whelan’s DW Sports is likely to acquire the majority of Fitness First sites, with operators, such as The Gym Group, GLL and others picking up parts of the portfolio.

When The Gym Group chief executive John Treharne was asked by Health Club Management if the sites were being acquired from Fitness First he declined to comment, adding: "Part of our strategy is that we acquire sites from other operators.”

The Gym Group has more than 80 sites nationwide, with six Gyms opening so far this year. More are scheduled to meet the 2016 target of 15-20. New sites are due to open in Greater London, including at Sunbury, Lewisham and Dagenham. Openings are also planned for Blackpool, Doncaster, Oldham and Edinburgh.

With 450 low-cost gyms in the UK, the business believes there is substantial opportunity for growth in the market.

The company expects to rollout out more gyms at an overall cost of between £1.3m and £1.4m per site. The interim report said: “We have substantial firepower from which to fund and develop the business, with a total of £40m of available financing facilities.”

The company had a buoyant first six months of the year.

Its Results showed that revenue for the first half year of 2016 rose to £36.1m from £28.9m in the same period in 2015, representing a year-on year increase of 25.1 per cent. Results for the six months to 30 June showed that pre-tax profits stood at £3.4m, against a £3.3m loss in the same period last year.

Sign up for FREE ezines & magazines
Related news

Boosting membership at The Gym Group helps revenue grow by a quarter

31 Aug 2016
Growth in membership helped revenue at The Gym Group rise to £36.1m in the first ...

The Gym Group secures Doncaster town centre site

02 Aug 2016
No-contract fitness operator The Gym Group is continuing its expansion in the north of England ...

Brexit won’t blow us off course, says Treharne

06 Jul 2016
The economic fallout from Britain’s historic vote to leave the European Union isn’t causing any ...
Core Health & Fitness
Core Health & Fitness