Apollo, a major investment firm, is set to acquire a minority stake in The GoodLife Group, Canada’s largest fitness club operator. Sources familiar with the transaction indicate the deal values the gym company at approximately $2 billion CAD ($1.46 billion USD). This marks the first time the fitness chain has taken on outside equity capital since its founding in 1979 by David ‘Patch’ Patchell-Evans, who will remain chairman and an investor. Apollo manages approximately $908 billion in assets, providing capital solutions to companies via debt and equity capital.
According to a statement, Apollo is making the investment through funds and affiliates associated with its hybrid strategies. The new capital infusion is expected to accelerate GoodLife’s long-term growth strategy and further solidify its leadership position within the competitive fitness market. GoodLife operates over 400 clubs with approximately 1.5 million members across its various banners, including GoodLife Fitness, Fit4Less, GYMVMT, and Éconofitness.
Patchell-Evans stated that Apollo’s investment would enable the company to build on nearly 50 years of success and accelerate its next chapter of growth. GoodLife’s bi-weekly membership fees range from $7.99 to $59.99 CAD. The company is based in London, Ontario. Investment firms like Apollo are typical acquirers of gym chains, with similar deals occurring in the US market last year.
Guggenheim Securities and McMillan advised GoodLife on the transaction, while Jefferies, Paul, Weiss, Rifkind, Wharton & Garrison and Blake, Cassels & Graydon advised Apollo. Apollo provides capital solutions to companies via debt and equity capital. The deal signals continued investor interest in the fitness industry.
