Goldman Sachs, Leonard Green, Pamplona and Providence compete in Pure Gym second round
19 OCT 2017
The second round of Pure Gym auction is underway, with Goldman Sachs Private Equity, Leonard Green, Pamplona and Providence in the running for the asset, four sources familiar said. Final bids for the UK-based fitness clubs chain are due 2 November, two of the sources said.
Jefferies and Harris Williams are advising incumbent sponsor CCMP on the deal.
The deal is marketed off cGBP 70m EBITDA, as previously reported by this news service.
Pure Gym has two main competitors, The Gym Group and Xercise4Less. Together, they dominate the low-cost gym market in the UK, as reported.
The deal is marketed off cGBP 70m EBITDA, as previously reported by this news service.
Pure Gym has two main competitors, The Gym Group and Xercise4Less. Together, they dominate the low-cost gym market in the UK, as reported.
Pure Gym was in advanced discussions to merge with The Gym Group in 2014 but the deal was blocked by the regulator, as reported. At the time of the prospective acquisition in summer 2013, Pure Gym had a run rate EBITDA of around GBP 17m and operated around 43 gyms. The Gym generated approximately GBP 10m EBITDA with 36 gyms throughout the UK.
CCMP acquired Pure Gym in 2013 for an estimated GBP 150m. The group then acquired LA Fitness in 2015, which significantly increased its size.
Pure Gym operates more than 170 clubs in the UK, making it the country's largest.
Pure Gym operates more than 170 clubs in the UK, making it the country's largest.
CCMP, Providence and Pamplona declined to comment. GS and Leonard Green did not respond to requests for comment.