Landmark acquires ME Fitness First units
Dubai, October 3, 2010
Landmark Group, a leading retail and hospitality Group based in Dubai with a turnover of $3.8 billion, said it has acquired the Fitness First franchise business in the Mena region, through its investment arm, Landmark Investments.
Fitness First 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.
The transaction, which has been completed, includes the hundred per cent buyout of the business from current franchisee Awwal Fitness, a Jebel Ali free zone company and part of Saudi-based Alhokair Group.
Alhokair Group is also a major landlord of the Landmark Group in Saudi Arabia.
“We are excited about this very significant expansion of Landmark Group into the health and fitness segment” said Micky Jagtiani, chairman of Landmark Group.
“Fitness First is a globally recognized brand with an enthusiastic following, that fits perfectly into our fast growing cluster of retail and hospitality brands,” he remarked.
The Mid-East Franchise Business presently operates 16 Fitness First outlets in Bahrain, Qatar, Jordan, Saudi Arabia and the UAE. The Landmark Group looks forward to expanding the business and providing the ‘Fitness First experience’ to a much larger base of customers in the Mena region.
“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” said Fawaz Alhokair.
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," the official said.
Landmark Group opened its newly built Oasis Mall in Dubai last year making retail history in ME with the launch of 25 retail outlets and three restaurants on a sprawling 300,000 sq ft of retail space, in a single location on a single day at Mirdif City Centre.
It had also launched its own mid segment hotel brand Citymax and revealed a $150 million expansion drive across the Middle East in the next three years.
“Landmark is unremitting in its promise of delivering exceptional value to all its customers. We will take that same approach with Fitness First and are dedicated to the brand promise of taking everyone’s fitness personally,” said Anuraag Malhotra, Strategic Investment Advisor of the Landmark Group.
Landmark Group intends to absorb all employees of the existing Fitness First outlets in the Middle East, he added.-TradeArabia News Service