Planet Fitness announced a $ 800 million deal to acquire Sunshine Fitness, which operates more than 100 Planet fitness clubs in the United States. The cash and stock deal results in Planet Fitness owning more than 200 corporate locations.
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Planet Fitness CEO Chris Rondeau stated that the acquisition of Sunshine Fitness will help diversify its geographic footprint, particularly in the Southeast. In 2021 Planet Fitness opened 132 locations and recorded an increase of 1.7 million members.
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“Owning corporate businesses is an important part of our strategy as it gives us both relevance and credibility in making decisions that affect the entire system,” Rondeau told CNBC.
The fitness industry has been particularly hard hit by the pandemic. According to the Global Health & Fitness Association IHRSA, 22 percent of gyms in the US had to close between 2019 and 2021.
But Planet Fitness was able to stay open, stay relevant, and thrive during the pandemic, in part by quickly switching to streaming workouts on Facebook Live and partnering with the iFit workout app. These efforts led Planet Fitness to its third annual Top 10 placement in Entrepreneur magazine’s 500 franchise.
