HEALTH & FITNESS Three ‘in running’ for LA buyout


Pure Gym is the reported frontrunner in a three-horse race to buy LA fitness for £80m, with Fitness First and Sports Direct Fitness also believed to be in contention. Pure Gym, which recently announced


bumper profits for 2014 (see page 6), is in “advanced” talks to acquire LA fitness, accord- ing to Te Sunday Times. Te paper cited City sources as saying any deal between the parties would be decided by the end of April. When contacted by Leisure Opportunities,


both Pure Gym and Sports Direct Fitness declined to comment, while Fitness First did not immediately respond to phone calls. LA fitness last year appointed Canaccord


Genuity to find new backers for the busi- ness – which comprises 44 sites nationwide. Te chain has scaled down in recent years, shedding 33 clubs as part of its CVA (Company Voluntary Arrangement) – with Pure Gym and Sport Direct Fitness having snapped up a large share of these. Despite the smaller portfolio, LA fitness possesses an enviable property footprint in London, where it has reported success with its new ‘premiumised’ LAX brand of clubs. LA fitness CEO Martin Long said recently


the company’s main shareholders are the banks that saw the chain through its CVA. He added: “Tey’ve been fantastic supporters, but they


LA fitness CEO Martin Long is reportedly in talks


aren’t the long-term holders of the business.” Of the potential LA fitness suitors, Fitness


First would be the most obvious bedfellow given that both chains see themselves as upper mid- market propositions. Tat said, Pure Gym has made no secret of its desire for a greater London presence, although how it would bridge poten- tial pricing gaps remains to be seen. One industry observer said it was possible the


LA fitness clubs could be split between two or more suitors, given the desirability of the London sites and the strong presences of Pure Gym and Sports Direct Fitness in the north of England – where LA fitness retains a number of health clubs. Details: http://lei.sr?a=Y4N4c


Fast-growing chains like Pure Gym are thriving Sports Direct eyes £5m Dundee complex


Sports Direct is bidding to scale up its dual-use gym and retail concept – part of plans to create a 200-strong UK gym empire – with proposals for a £5m development in Dundee. Sports Direct – which was


founded by Newcastle United owner Mike Ashley in 1982 – hopes to capitalise on the synergy between its retail and gym divisions by offering the two prospects side-by-side under one roof. Drawing an already captive audience, the model is designed to drive sales of activewear and footfall in the gym. Te standalone retail and fitness concept


Budget clubs drive EU gym membership increases


European health club operators enjoyed strong penetration growth in 2014, with low cost clubs continuing to lead the way, according to the new European Health & Fitness Market Report published by EuropeActive and Deloitte. Te annual research report found there


A CGI of Sports Direct’s retail and gym complex concept Te plans were submitted to Dundee City


sees the Sports Direct Fitness gym offering a CV section, large free weights area, a func- tional training space and two group exercise studios, with memberships starting from as little as £5 per month. Te application to transform a derelict former nightclub space in Dundee’s Stack Leisure Park outlines plans for a ground floor retail store beneath a 30,000sq ſt (2,787sq m) gym spread over two floors.


© CYBERTREK 2015


Council, which will now review the pro- posal, by commercial property agency GVA on behalf of Sports Direct and site owner TJ Morris Limited. A statement supporting the application added: “Te proposals rep- resent an exciting opportunity to not only enhance the quality of shopping provision within Lochee but also deliver the first Sports Direct retail and gym outlet in Scotland.” Details: http://lei.sr?a=e4c9v


Twitter: @leisureopps


were 50.1 million members in European health and fitness clubs at the end of 2014 – an increase of 9 per cent compared to the previous year. Despite this, overall revenue grew by only 4 per cent to around €26.8bn (£19.6bn) in 2014, suggesting that mem- berships priced below the market average proved the most popular. Te march of the budget gyms is a famil-


iar theme for the European market, with low cost chains having enjoyed substan- tial growth in recent years. In the UK, for example, Pure Gym, Xercise4Less and Te Gym Group were all recently named among the country’s 50 fastest growing businesses. Deloitte partner Karsten Hollasch said the budget club dominance shows the mar- ket has matured to offer greater choice. Details: http://lei.sr?a=m8Z5P


Read Leisure Opportunities online: www.leisureopportunities.co.uk/digital 7


Changing of guard as BMF founder takes MD post


Te original founder of British Military Fitness (BMF), Harry Sowerby, has reas- sumed the top rank having been appointed as the company’s new managing director. Sowerby recently returned to the


company as chair, 11 years aſter he leſt to serve as a section commander in Iraq and Afghanistan. He replaces previous MD Rob Love, who is going to remain with the company working in a reduced capacity as he tends to family commitments. Sowerby takes on the role 16 years


aſter BMF’s inception, at a time when the company is training up to 13,000 weekly par- ticipants in over 140 parks around the UK. Details: http://lei.sr?a=Z4a4Y


Page 1  |  Page 2  |  Page 3  |  Page 4  |  Page 5  |  Page 6  |  Page 7  |  Page 8  |  Page 9  |  Page 10  |  Page 11  |  Page 12  |  Page 13  |  Page 14  |  Page 15  |  Page 16  |  Page 17  |  Page 18  |  Page 19  |  Page 20  |  Page 21  |  Page 22  |  Page 23  |  Page 24