Low-cost health club operator The Gym Group has revealed that it has secured a £20m funding package towards its plans for expansion.

Primary investor Bridges Ventures and a 'revolving credit facility' from HSBC will help finance the group's move to grow its UK portfolio from 14 sites. The Gym Group is looking to acquire up to 20 additional sites during 2011 and aims to expand its estate to 50 clubs over the next two years.

Kennedys provided legal support for The Gym Group, while Baker Tilly completed due diligence on behalf of HSBC. The Gym Group CEO John Treharne said: "Our ability to secure substantial financial backing at a time when capital is so constrained is testament to the robustness of The Gym's business model."

Bridges Ventures investment director Anne-Marie Harris added: "Our decision to back The Gym centres on its vision to bring accessibility, affordability and flexibility to the health and wellbeing sector." The Gym Group launched its first club in Hounslow, London, in 2008 and will focus its expansion plans on populated residential and city centre developments.