WME|IMG Acquires UFC for $4 Billion
WME|IMG has acquired UFC, the world’s premier professional mixed martial arts (MMA) organization for $4 billion. WME|IMG will serve as UFC’s operating partner, focusing on accelerating the sport’s popularity around the world. The deal highlights the power and reach of the 23-year old UFC which shows its fights in 156 countries and generates some of the top grossing pay-per-view television programming.
WME|IMG joined forces with private equity groups, Silver Lake Partners and KKR to fund the deal. MSD Capital, L.P. and MSD Partners, L.P., will provide preferred equity financing.
Dana White, who will remain president of UFC, said in a press release, “No other sport compares to UFC. Our goal has always been to put on the biggest and the best fights for our fans, and to make this the biggest sport in the world. I’m looking forward to working with WME|IMG to continue to take this sport to the next level.”
As part of the transaction WME|IMG will now own 50% of UFC GYM, with the other 50% owned by New Evolution Ventures (NeV). UFC GYM has over 100 locations in the U.S. and internationally and is the first major brand extension of the UFC brand.
WME|IMG specializes in talent representation and management; brand management, activation and licensing; media production, sales and distribution; and event management and production in 30 countries.Read More
On June 15, 2016 Genesis Health Clubs acquired 19 clubs from 24 Hour Fitness for an undisclosed amount. With these additions, Genesis is now one of the largest health club companies in the Midwest. Included in the transaction with 24 Hour Fitness, were 8 clubs in the Kansas City metro area, 5 clubs in the Omaha metro area, 4 clubs in St. Louis and 2 clubs in Oklahoma City.
In a separate transaction with Gold’s Gym, Genesis sold the St. Louis and Oklahoma City locations, and acquired six additional locations from Gold’s Gym. This included 2 gyms in Omaha, 2 in Lincoln, Nebraska, and 2 in Tulsa, Oklahoma.
These acquisitions come following a number of other key acquisitions that Genesis Health Clubs has made over the past few years. In early 2016, Genesis acquired 4 clubs from Gold’s Gym. Late in 2015 it acquired the Midtown Athletic Club in Overland Park and converted it to a Genesis club.
This growth is in addition to the acquisitions that doubled the size of Genesis Health Clubs between 2011 through 2014 with its purchase of Maximus Fitness in Lawrence, Leavenworth and Topeka; Ozark Fitness in Springfield; and MAX Fitness in Manhattan.Read More
Gold’s Gym Acquires Six 24 Hour Fitness Locations in St. Louis and Oklahoma City
Gold’s Gym has agreed to acquire all of the 24 Hour Fitness locations in the St. Louis and Oklahoma City metro areas. As part of the deal, the six 24 Hour Fitness locations will be rebranded under the Gold’s Gym name, making Gold’s Gym the market leader in these cities with 10 locations in Oklahoma City and 11 locations in St. Louis.
All of the existing 24 Hour Fitness memberships will be honored at the new Gold’s Gym locations without any interruption to current members and the clubs will remain open throughout the conversion. Members will also be given the ability to access the Gold’s Gym network of more than 700 locations in 37 states and 23 countries.
“We are thrilled to welcome these 24 Hour Fitness clubs and their members into the Gold’s Gym family, and we are dedicated to making the transition as easy as possible,” said Gold’s Gym CEO Brandon Bean. “We have a great community of members at our existing Gold’s Gym locations in both St. Louis and Oklahoma City, and we’re excited to expand to help even more people achieve their potential through fitness with new members and associates joining us from 24 Hour Fitness.”
Johnson Health Tech Acquires Leisure Fitness
Johnson Health Tech (JHT) announced that it will purchase Leisure Fitness, a Newark, Delaware-based specialty fitness retailer with 27 stores, primarily on the Eastern coast. JHT is one of the world’s largest fitness equipment manufacturers and retailers, with brands like Matrix, Vision and Horizon.
According to Nathan Pyles, President of Johnson Health Tech North America (JHTNA), “Together, Johnson Health Tech and Leisure Fitness will continue to grow and shape specialty retail. With the addition of Leisure Fitness, JHTNA will have almost 100 specialty fitness retail locations in the United States. That distribution network, combined with the product design, engineering and manufacturing excellence of our global organization, gives us a unique opportunity to fuel continued growth.”
With this acquisition, JHT, which is already the world’s largest specialty fitness retailer, will have 315 retail locations worldwide. Leisure Fitness will be merged into the existing JHTNA retail group and Leisure Fitness’s management team is expected to continue to work for JHT.
In the press release Paul Bastianelli, CEO of Leisure Fitness said, “We’re proud to be part of an organization like Johnson Health Tech that continues to invest in specialty retail. Like Leisure Fitness, JHT believes in investing in great people that can deliver outstanding customer experiences. With our shared vision and customer commitment, we’ll continue to help grow specialty fitness.”
“Leisure Fitness brings an organization with strong and diverse resources to JHTNA. We’re excited to welcome them to our team,” said Bob Zande, CFO/COO of JHTNA. “With Leisure’s strong East Coast presence, we’ll be able to further enhance our service levels and distribution in that region.”Read More
GAIAM Agrees to Sell Yoga Brand for $146 Million
Sequential Brands Group announced that it signed a definitive agreement to acquire GAIAM, Inc.’s branded consumer products business, including its SPRI brand, for approximately $146 million. GAIAM Inc., is selling off it’s non-digital businesses to focus on developing its digital media subscription service.
GAIAM has agreed to sell its branded consumer products business to Sequential Brands Group Inc., New York City, for approximately $146 million, according to a media release. The consumer business includes GAIAM’s yoga, fitness and wellness products, including the GAIAM and SPRI brands, which are distributed through Amazon, Kohl’s, Target, and Bed, Bath & Beyond. The brands will integrate into sequential’s Active Division, which is currently anchored by the AND1 and AVIA brands.
In addition, GAIAM also sold its 51 percent interest in Natural Habitat to Lindblad Expeditions Holdings Inc. for $12.85 million in a deal that closed on May 4, according to a press release.
If you own a yoga studio or yoga related business and would like to explore your options, please contact Rich Jackim or Jim Bates at Sports Club Advisors to start a free, confidential conversation today.Read More
Genesis Health Clubs Acquires Four Gold’s Gyms in Kansas City
April 29, 2016 –Genesis Health Clubs announced that it has purchased four corporate-owned Gold’s Gym locations in the Kansas City metro area. Genesis first entered the Kansas City market with its purchase of the Midtown Athletic Club in Overland Park in March 2015.
With 30 years of experience and expertise in the health and fitness industry, Genesis is on an acquisition spree. This latest acquisition is one of thirteen in the past five years for Rodney Steven II, owner and president of Genesis Health Clubs. Between 2011 and 2014 Genesis doubled its footprint in the Midwest with the purchase of Maximus Fitness, Ozark Fitness, and MAX Fitness.
Genesis now has 25 locations in Kansas and Missouri. Genesis has achieved its stated goal of having a Genesis club in every city in the state of Kansas with a population of 30,000 or more.Read More
Chuze Fitness Receives Investment from Main Post Partners
Chuze Fitness, which calls itself a “local gym featuring low prices and state of the art facilities & equipment” has 21 locations in CA, AZ and CO with over 100,000 members. In April 2016, they secured an equity investment from financial partner Main Post Partners to accelerate unit growth in existing and new markets.Read More