Last year, Snap Fitness brought in adjusted earnings before interest, taxes, depreciation and amortization of $21 million, on sales of $81 million and revenue of $81 million. According to the teaser, the network’s total sales amounted to $543 million. In addition to its fitness franchise and streaming service, Snap Fitness also owns a 37 percent stake in Australian chain Fitstop and a 40 percent stake in U.S. kickboxing club franchise business 9Round.
While Record Point will no doubt target global sponsors, Snap Fitness is expected to attract the attention of local private equity groups that are already investing in the space. Officials said they signed non-disclosure agreements this week.
The largest of the gym owners is Quadrant Private Equity, which operates a vast fitness and lifestyle group business after acquiring Goodlife Health Clubs from Ardent Leisure in 2016. ing. Some of the Fitness and Lifestyle Group’s best-known gym brands include Fitness First, Barry’s Bootcamp, and Jets Fitness.
Recent sales figures show that companies similar to Snap have profit margins of around 10 times, with Britain’s largest operator Pure Gym acquiring Denmark’s Fitness World in late 2019 for around $500 million (9.2 times EBITDA). , Viva Leisure acquired the Plus Fitness brand. It acquired Health Club in August 2020 for approximately $20 million, or 11 times EBITDA.