Health and fitness club brand to refurbish multiple sites via new seven-figure deal

OakNorth Bank, the neobank for entrepreneurs, by entrepreneurs, has provided a £6.5m loan to Total Fitness, to refinance an existing loan facility, as well as support the refurbishment of several of its clubs.

The transaction also includes a debt accordion to support future growth opportunities beyond the core health club business. Founded in 1993 and headquartered in Wilmslow, Cheshire, Total Fitness has over 93,000 members and operates 15 health and fitness clubs across the North of England and Wales.

Now employing around 600 staff members, each of its sites offer a full range of health and fitness facilities, including fully equipped gyms with extensive cardio, strength and resistance equipment, swimming pools, squash courts, indoor running tracks, relaxation areas with cafes, saunas, and studio spaces that host over 70 classes per week.

All health clubs are also situated within central urban locations, with good transport links and large car parking facilities to accommodate peak visiting times. Led by the first female CEO in the UK’s private health club sector, Total Fitness was backed by private equity firm, NorthEdge Capital, in 2015, to support its growth ambitions.

With an AUM of £900m and a successful track record of over 25 years, NorthEdge backs entrepreneurial and ambitious management teams in the technology, healthcare, business services, and specialised industrials sectors.

Sophie Lawler, CEO of Total Fitness, commented: “As a team with an exciting story and a unique strategy for the future, we have been thoughtful about the right partner to support us through this next chapter.

“Our experience with OakNorth was hugely exciting – we found them to be dynamic and entrepreneurial, but with an appreciation for rich insight and considerate decision-making.

“Total Fitness creates spaces and opportunities for members to achieve more than they thought possible through fitness, we operate superscale health clubs in the North of England and Wales although our ambitions expand way beyond that model of club, and we’re delighted to have OakNorth partner with us for the future.”

Tom Rayner, CFO of Total Fitness, commented: “We’re thrilled to be commencing our next stage of growth alongside a funding partner who is committed to supporting us in advancing our purpose, that everyone is better fitter.

“This refinancing has enabled the business to invest in its future and will be the underpin for further growth in our member base and rich, varied offering. At a time when the nation’s fitness is more important than ever, our exciting new spaces and opportunities will further strengthen our commitment to lifelong fitness.”

By Matthew Neville – Senior Correspondent, Bdaily

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