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International news The €1bn gym chain: Basic-Fit IPOs Basic-Fit enjoyed a bumpy start to life on the Amsterdam Stock Exchange when it floated on 10 June, as shares slid by 3 per cent in early trading. The first day of trading for Europe’s largest budget gym chain saw an introductory share price of €15, implying a market capitalisation of €820m and an enterprise value of €994m. However, the share price slid to a low of €14.37 on the first morning of trading, before making a slight recovery. The share price slipped further in the following week, down to €13.43 on the morning of 15 June, but had recovered to €14.23 when this magazine went to print. Basic-Fit has offered 48.8 per cent of its shares to the market, according to a company statement, as London-based private equity backer 3i Group cashes in on the €110m investment it made in 2013. Basic-Fit says the money raised from the listing will give it greater financial flexibility and allow for the continued implementation of its growth strategy. “The listing process has been an exciting journey and we’re pleased with the response of both institutional and retail investors to Basic-Fit,” said Rene Moos, chief executive officer and co-founder of Basic-Fit, who will remain a significant longterm shareholder in the business.

Netherlands-based Basic-Fit operates 351 low-cost health clubs in Europe “The level of interest in our IPO underpins our strong belief that we have an attractive investment growth and value-creation opportunities, with a strong margin profile and cash generation. We look forward to further expanding our leading European market position together with our new shareholders and thank them for their trust in our company and our strategy.”

The listing of Basic-Fit – which operates 351 clubs across the Netherlands, Belgium, Luxembourg, France and Spain – adds to the recent flurry of fitness market IPO activity. In May, Technogym went public in Italy, following on from The Gym Group’s IPO last November, while the UK’s Pure Gym and The Bannatyne Group are also thought to be lining up listings. Details: http://lei.sr?a=Z9S6f

Pop-up rescue for fast food addicts

Vitamins were given out for free 12

A mysterious pop-up shop emerged in Tokyo’s famous Harajuku district in May, offering passers-by free vitamin supplements – as well as an educational experience. The supplements, neatly stacked on shelves akin to a science laboratory, were designed to give people the nutrients they weren’t getting from eating fast food – such as burgers, pizza, fried chicken and ramen – which are in rich supply across Harajuku, an area renown for its vibrant youth culture. The free vitamins and other nutrients at the Fast Food Aid shop were available to anyone producing a receipt for a fast food purchase. After handing over their receipts, customers were served by staff dressed as pharmacists, who would proceed to analyse the diner’s intake based on the receipt and produce a bottle of vitamins and nutrients to supplement what was missing. A slogan etched across the shop exclaimed: “To fast food lovers who are also health conscious – no need to worry! Just take our supplements after eating your fast food.” The stunt was, perhaps surprisingly, organised by a restaurant company called Dohtonbori, working in partnership with design studio Kaibutsu, which created the shop. Dohtonbori itself is classed as a fast food chain, but rather than offering the likes of ramen (noodles) or gyudon (a beef and rice dish), its menu consists of okonomiyaki and monjayaki – savoury pancakes that are considered a healthier option thanks to fresh vegetables being a crucial part of the dish. The purpose of the stunt became clear to anyone who had eaten at Dohtonbori and then visited Fast Food Aid to supplement their intake: the medication bottle for okonomiyaki would be handed over empty, accompanied by the words “Looks like fast food, but you need zero tablets.” Details: http://lei.sr?a=m6s5Q_H

healthclubmanagement.co.uk July 2016 ©Cybertrek 2016

Profile for Leisure Media

Health Club Management July 2016  

Health Club Management is the magazine and online community for decision-makers in the global health club, fitness and gym industry.

Health Club Management July 2016  

Health Club Management is the magazine and online community for decision-makers in the global health club, fitness and gym industry.