"The first time we had looked for a new partner a few years ago. We had determined that we could not realize the desired growth on a stand-alone basis. In November last year we have started the sales process again. Now, we are excited by this new phase for Fitness World and we believe that in FSN Capital, we have found the right partner to internationalize and further professionalize Fitness World", said Henrik Rossing.
Currently, 450,000 Danes or almost ten percent of the population exercise in the 152 facilities of Fitness World. The company which also operates five clubs in Poland employs 3,300 people and has nearly doubled its revenue since 2010 reaching EUR 230 million in 2014.
FSN Capital acquires a majority stake in the company. "Fitness World is not just another fitness operator, it has an unrivalled market positions in one of the world's most developed fitness markets, with clear cost leadership, a strong brand and continued tangible growth prospects in Denmark, coupled with an exciting potential roll-out of the concept in Poland" comments Thomas Broe-Andersen, partner at FSN Capital the acquisition. For the fund, it is not the first engagement in the fitness industry. Until 2012, it was already invested in Actic, another leading health and fitness provider in the Scandinavian market.
Both parties agreed to not disclose any information on the realized purchase price. However, with an operating result of EURm 34 and a multiplier of 8-10x, the enterprise value could be expected to be around EURm 300.
Source: Fitness World, FSN Capital, business.dk
Picture: Fitness World