NEWS
Pure Gym negotiates additional £150m liquidity
POSTED 11 Sep 2020 . BY Tom Walker
The budget operator said the additional cash will be used to bolster its balance sheet and to open new gym sites when the right opportunities arise Credit: Pure Gym
This additional £150m of new capital boosts the total liquidity to which the business has access to £297.0m and will act as a substantial buffer to both handle any further enforced closures and continue our expansion
– Humphrey Cobbold
PureGym has secured a £100m cash injection from shareholders to help deal with both the opportunities and threats posed by COVID-19. The move takes its borrowings to around £480m.

The budget operator said the additional cash – mainly from Leonard Green Partners – will be used to bolster its balance sheet so it can continue to develop and open new gyms when the right opportunities arise.

Pure Gym has also agreed to increase commitments under its revolving credit facility by £50m.

"This additional £150m of new capital boosts the total liquidity to which the business has access to £297m and will act as a substantial buffer to both handle any further enforced closures and continue our expansion," said CEO Humphrey Cobbold.

"Health and wellbeing have never been more important, and our scale and affordable, accessible proposition position us well to improve the health of people in all the countries where we operate," he said.

Earlier this year, Pure Gym said that, while Q2 performance had been "significantly impacted by COVID-19 closures", its swift management action and geographical diversity protected liquidity and cashflow.

Kris Galashan, Partner at Leonard Green Partners, said: "The management team at PureGym did an outstanding job guiding the business through unprecedented market conditions. This journey has underscored the business’s ability to withstand an extreme market shock.

"The PureGym Group is emerging as one of a handful of fitness businesses with global reach, sophisticated technology and yield management capability.

"The pandemic has reinforced the trend to health and the PureGym Group is excellently placed to provide facilities and services that benefit members and, in turn, societies. We are proud to be increasing our investment and playing our part at this challenging time and we look forward to supporting the business through its ongoing growth and expansion.”
 


CONTACT US

Leisure Media, Portmill House, Portmill Lane,
Hitchin, Hertfordshire SG5 1DJ Tel: +44 (0)1462 431385

©Cybertrek 2020

ABOUT LEISURE MEDIA
LEISURE MEDIA MAGAZINES
LEISURE MEDIA HANDBOOKS
LEISURE MEDIA WEBSITES
LEISURE MEDIA PRODUCT SEARCH
PRINT SUBSCRIPTIONS
FREE DIGITAL SUBSCRIPTIONS
 
Leisure Management - Pure Gym negotiates additional £150m liquidity ...
28 Sep 2020 Leisure Management: daily news and jobs
 
 
HOME
JOBS
NEWS
FEATURES
PRODUCTS
FREE DIGITAL SUBSCRIPTION
PRINT SUBSCRIPTION
ADVERTISE
CONTACT US
Sign up for FREE ezine
Latest news

11 Sep 2020

Pure Gym negotiates additional £150m liquidity
BY Tom Walker

The budget operator said the additional cash will be used to bolster its balance sheet and to open new gym sites when the right opportunities arise

The budget operator said the additional cash will be used to bolster its balance sheet and to open new gym sites when the right opportunities arise
photo: Pure Gym

PureGym has secured a £100m cash injection from shareholders to help deal with both the opportunities and threats posed by COVID-19. The move takes its borrowings to around £480m.

The budget operator said the additional cash – mainly from Leonard Green Partners – will be used to bolster its balance sheet so it can continue to develop and open new gyms when the right opportunities arise.

Pure Gym has also agreed to increase commitments under its revolving credit facility by £50m.

"This additional £150m of new capital boosts the total liquidity to which the business has access to £297m and will act as a substantial buffer to both handle any further enforced closures and continue our expansion," said CEO Humphrey Cobbold.

"Health and wellbeing have never been more important, and our scale and affordable, accessible proposition position us well to improve the health of people in all the countries where we operate," he said.

Earlier this year, Pure Gym said that, while Q2 performance had been "significantly impacted by COVID-19 closures", its swift management action and geographical diversity protected liquidity and cashflow.

Kris Galashan, Partner at Leonard Green Partners, said: "The management team at PureGym did an outstanding job guiding the business through unprecedented market conditions. This journey has underscored the business’s ability to withstand an extreme market shock.

"The PureGym Group is emerging as one of a handful of fitness businesses with global reach, sophisticated technology and yield management capability.

"The pandemic has reinforced the trend to health and the PureGym Group is excellently placed to provide facilities and services that benefit members and, in turn, societies. We are proud to be increasing our investment and playing our part at this challenging time and we look forward to supporting the business through its ongoing growth and expansion.”



Connect with
Leisure Management
Magazine:
View issue contents
Sign up:
Instant Alerts/zines

Print edition
 

News headlines
Research: 10 minutes of massage will help your body fight stress
Research: 10 minutes of massage will help your body fight stress   25 Sep 2020

A recent study from the University of Konstanz in Germany has revealed that 10 minutes of massage or rest can help the body reduce stress. The study .... more>>
Activity sector unites to push back over Chancellor’s Winter Economy Plan
Activity sector unites to push back over Chancellor’s Winter Economy Plan   25 Sep 2020

Chancellor Rishi Sunak's proposals to support the economy through the next six months of the pandemic "are not enough" to secure the future of the .... more>>
First One&Only Spa by Chenot launches at tropical beachfront retreat in Malaysia
First One&Only Spa by Chenot launches at tropical beachfront retreat in Malaysia   25 Sep 2020

One&Only has debuted in Asia with a brand new resort – called One&Only Desaru Coast – completed with a signature Chenot spa, a result of a partnership .... more>>
Good news – gyms and group exercise classes not affected by new 'Rule of Six'
Good news – gyms and group exercise classes not affected by new 'Rule of Six'   24 Sep 2020

The UK government's 'Rule of Six' has come into force in physical activity facilities today (24 September). The good news is that gym and pool .... more>>
Accor debuts in-room wellness programme inspired by nature at select North and Central America properties
Accor debuts in-room wellness programme inspired by nature at select North and Central America properties   24 Sep 2020

Global hospitality group, Accor, is launching in-room restorative wellness programming at select North and Central America properties through an .... more>>
Bear Grylls leads activities on another successful National Fitness Day
Bear Grylls leads activities on another successful National Fitness Day   23 Sep 2020

The UK's physical activity sector has come together to get millions of people active during National Fitness Day 2020. Gyms, leisure facilities and .... more>>
Company profile


QubicaAMF UK

QubicaAMF is the largest and most innovative bowling equipment provider with 600 employees worldwide.

View full profile>>

Catalogue gallery


Featured Supplier

The Virtual Revolution: Hutchison Technologies help operators motivate members

The Virtual Revolution: Hutchison Technologies help operators motivate members

Hutchison Technologies virtual solutions are helping operators expand their virtual offering and get motivated members back into the club. More>>




in this issue

• Gyms on the high street – it's a go!
• JD Gyms buys Xercise4Less out of administration
• Family operator, GetSetGo! reveals launch plans



Latest jobs

Jobs Search



Personal trainers
Salary: Unlimited earning potential
Location: Aylesbury, UK
Company: Everyone Active
Personal trainers
Salary: Unlimited earning potential
Location: Buckingham, UK
Company: Everyone Active
Community Fitness Manager
Salary: Scale 5 (Spine point 14) £23,577 actual salary
Location: Bow Road, London, UK
Company: Central Foundation Girls' School
Diary dates
Powered by leisurediary.com

30 Sep 2020

European Health & Fitness Forum (EHFF)

Exhibition Centre Cologne, Cologne, Germany



Leisure Management magazine 2018 issue 1
Leisure Management
2018 issue 1

View issue contents
View on turning pages
Download PDF
  Interview: Sioux-per foods
The Sioux Chef, Sean Sherman, is on a mission to revive indigenous cuisine More>>
  Interview: Katy Bowman
In her latest book, the biomechanist and author explains why we need to widen our spectrum of movement and connect with our inner hunter-gatherer More>>


Leisure Management magazine 2016 issue 1

Leisure Management
2016 issue 1

View issue contents
View turning pages
Download PDF
  Thermal Spa: Taking the waters
Magali Robathan met the key people behind the Gainsborough Bath Spa More>>
  Visitor profiles: Beyond demographics
Gerri Morris, of Morris Hargreaves McIntyre, on defining cultural consumers More>>


Published by The Leisure Media Company Ltd Portmill House, Portmill Lane, Hitchin, Herts SG5 1DJ. Tel: +44 (0)1462 431385 | Contact us | About us | © Cybertrek Ltd