Commercial Aquatics Australia provides aquatic solutions nationwide and is one of the largest and most experienced companies specialising in the design, construction, renovation, service, maintenance…read more
Ardent Leisure sells Goodlife Health Clubs in $260 million deal
Multi-sector leisure operator Ardent Leisure has reportedly agreed a $260 million deal to sell its Goodlife Health Clubs division to private equity firm Quadrant.
Having been undertaking a strategic review of fitness clubs division over recent months, the results of which had been expected to be announced in the coming days, the sale follows Quadrant having signed off on a new investment fund, which raised $980 millon
In acquiring the Goodlife brand, one of Ardent’s top performing divisions over recent years, Quadrant will reportedly now focus on expanding its Sydney network of clubs.
According to the Australian Financial Review, Quadrant Executive Chairman Chris Hadley plans to spend an additional $100 million on growing the Goodlife business, and said he was expecting the $2 billion national gym sector to grow at 6% a year for the next five years.
Hadley told the Australian Financial Review “in Australia right now there's approximately 3.5 million gym members comprising a participation rate of 14% of the population.
"In addition to population growth there is also the potential for an increase in the participation rate which is higher in some other countries such as the United States (where it is) at around 20%."
Operating 76 clubs around the country and with more than 200,000 members, Hadley sees the competitive Sydney market as representing a gap in the network with just four clubs.
Quadrant has set up a holding company Fitness and Lifestyle Group to purchase Goodlife and to make other acquisitions in the sector.
Hadley will chair the company and Jonathon Pearce who led the deal will also be a director.
With Fitness First’s global club network up for sale and reportedly ready to be broken up, Sydney-focused Fitness First Australia.
Hadley stated "we will probably have a look at it if and when it comes up for sale.”
For Ardent, which, since March, had been looking to sell its d'Albora Marinas division, the sale will require much-needed funds for investment in other parts of its business.
Ardent Leisure Chief Executive Deborah Thomas also conceded that the Goodlife brand would have required much greater investment to build the scale required to compete in the sector.
As a result, Thomas explained "our focus is better directed towards other areas”, adding “it was important for us to find a buyer that was comfortable with the values and culture of the health club division.”
Ardent Leisure will deliver its full-year results on 24th August. Earlier this week, Goodlife announced a $2.5 million refurbishment of its Ashgrove, Brisbane club.
Lower image shows Goodlife Glen Iris.
17th August 2016 - GOODLIFE HEALTH CLUBS TO INVEST $2.5 MILLION TO REDEVELOP ASHGROVE FACILITY
10th August 2016 - LIKELY FITNESS FIRST BREAK-UP TO INCLUDE SALE OF ASIAN AND AUSTRALIAN GYMS
31st March 2016 - ARDENT LEISURE LOOKS TO SELL MARINAS DIVISION
23rd February 2015 - AUSTRALIAN GYM MARKET TO REACH SATURATION WITHIN FIVE YEARS
13th August 2014 - ARDENT LEISURE BUYS INTO HYPOXI WEIGHT MANAGEMENT CONCEPT
Asking a small favour
We hope that you value the news that we publish so while you're here can we ask for your support?
The news we publish at www.ausleisure.com.au is independent, credible (we hope) and free for you to access, with no pay walls and no annoying pop-up ads.
However, as an independent publisher, can we ask for you to support us by subscribing to the printed Australasian Leisure Management magazine - if you don't already do so.
Published bi-monthly since 1997, the printed Australasian Leisure Management differs from this website in that it publishes longer, in-depth and analytical features covering aquatics, attractions, entertainment, events, fitness, parks, recreation, sport, tourism and venues management.
Subscriptions cost just $90 a year.
Click here to subscribe.
The Complete Guide to Leisure Industry Products & Services.
Summit Fitness Equipment is now part of NovoFit - see www.ausleisure.com.au/suppliers/novofit/read more
BODY BIKE® International is a leading manufacturer of indoor bikes with a 20-year track record of creating the best indoor bikes. Stay connected with Body Bike Australia…read more
Founded in 1961, Myrtha Pools® quickly became Italy’s première swimming pool company, and has since grown into one of the world's leading swimming pool construction…read more
The Jump Pad is a safe, flat inflatable made in a variety of sizes which can be used indoor or outdoor. From 3mx3m up to a whopping 9mx21m. Markets include Indoor and outdoor playgrounds, schools,…read more
Myzone is the industry’s leading wearable technology solution. Myzone’s wearable products show and reward effort when you work out. It displays accurate real-time heart rate, calories, and…read more
Swimplex Aquatics are a world-class company dedicated to the commercial pool, waterslide industry. We are Australian market leaders servicing all states Australia wide. Swimplex provide a full…read more
Augmented Creative is an open organization of like-minded and highly dedicated, creative people who conceive, plan and execute visual solutions. We pursue new and innovative visual ideas to help…read more
get listed with our suppliers directory
Get your business noticed in our targeted directory. Viewed by 10,000 industry professionals per week!