Landmark Group Acquires MENA Franchise of Fitness First
Landmark Group, the leading retail and hospitality Group based in Dubai with a turnover of US$3.8 billion, has acquired the Fitness First franchise business in the MENA region, through its investment arm Landmark Investments.
The transaction, which has been completed, includes the 100 per cent buyout of the business from current franchisee Awwal Fitness Ltd, a Jebel Ali free zone company and part of the Alhokair Group of Saudi Arabia. Alhokair Group is also a major landlord of the Landmark Group in Saudi Arabia.
Fitness First Plc is the largest privately owned health club group in the world with over 540 Fitness First clubs worldwide, reaching 1.4 million members across Europe, Australia, Asia and the Middle East.
Micky Jagtiani, Chairman of Landmark Group, said: "We are excited about this very significant expansion of Landmark Group into the health and fitness segment. Fitness First is a globally recognised brand with an enthusiastic following that fits perfectly into our fast growing cluster of retail and hospitality brands."
The Fitness First Middle East franchise business presently operates 16 outlets in Bahrain, Qatar, Jordan, Saudi Arabia and the UAE. The Landmark Group looks forward to expanding the operations and providing the 'Fitness First experience' to a much larger base of customers in the MENA region.
Fawaz Alhokair, Chairman of the Alhokair Group, said: "We are proud with what we have achieved in such a short time – I am sure the Fitness First brand is in safe hands with the Landmark Group's expertise and we look forward to seeing even greater achievements in the future."
Colin Waggett, CEO of Fitness First, said: "The development of our franchise business is an increasingly important part of our strategy and we are delighted to partner with Landmark Group to continue the growth of our business in the Middle East region."
The acquisition comes on the heels of a series of several growth initiatives, marking the continuous diversification of the Group from its traditional fashion retail business.
David Giampaolo, the non-executive Board Director who has facilitated the deal from a Fitness First perspective, said: "We are delighted to have the Landmark Group as our partner to develop and expand the Fitness First presence in the Middle East region. It has acquired a market leading position, and Landmark Group is a tremendously professional and experienced partner with some very exciting growth plans."
Landmark Group opened its newly built Oasis Centre in Dubai last year. It made retail history in the Middle East with the opening of 25 retail outlets and three restaurants over 300,000 square feet of retail space, in a single location on a single day at Mirdif City Centre. Landmark Group has also launched its own mid-segment hotel brand Citymax and revealed a US$150 million expansion drive across the Middle East in the next three years.
Anuraag Malhotra, Strategic Investment Advisor of the Landmark Group, said: "Landmark Group is unremitting in its promise of delivering exceptional value to all its customers. We will adopt the same approach with Fitness First and are dedicated to the brand promise of taking everyone's fitness personally, just as we have taken every customer experience with our established retail brands personally since Landmark Group was incepted in 1973."
Landmark Group intends to absorb all employees of the existing Fitness First outlets in the Middle East.
- So cool it's hot: Saudi Arabia's $3.2B HVACR market driven by construction boom
- Oman sees steady upswing in fishing industry
- Breathe easier with LG Saudi Arabia’s new indoor ventilation system
- Careem offers discounts to riders headed to the gym!
- Widespread apple crop failure raises agricultural concerns in Lebanon
- Landmark Group enriches retail empire with Oracle Retail Solution
- Gold's Gym: a gold rush for the ME's exercising appetite?
- Deira City Centre ‘Warms Up’ to welcome leading global health and fitness provider: Fitness First
- Al Masaood Group expands to Europe by opening a Service Centre in Poland through its partner Osborne Engineering LTD (OEL)
- Landmark Group poised to register US$5 Billion Revenue by 2015