The Gym Group successfully launched an IPO on the London Stock Exchange at a £250 million valuation, with plans to use the raised funds for debt reduction and expansion.

Target Information

The Gym Group, co-founded in 2007 by Bridges alongside CEO John Treharne, is a leading fitness provider in the UK, specializing in affordable and flexible gym memberships. The company has established itself by opening its first gym in Hounslow in 2008, which paved the way for significant expansion. Currently, The Gym operates 66 locations and has over 363,000 members, with a substantial percentage being first-time gym-goers. Notably, two-thirds of its gyms are situated in economically disadvantaged areas, thus fulfilling an important social need.

The Gym has experienced impressive growth, with revenues soaring from £22.3 million in 2012 to £45.5 million in 2014, marking a compound annual growth rate of 43%. This growth is accompanied by a significant increase in adjusted EBITDA, which more than doubled to £16.7 million during the same period. With a robust business model targeting underserved demographics, The Gym is well-positioned in the fitness industry.

Industry Overview in the UK

The fitness industry in the UK has witnessed a remarkable evolution over the past decade, with the low-cost gym model becoming increasingly popular. This shift has democratized access to fitness, allowing individuals from