PureGym to acquire Blink's corporate operations and a significant number of locations, primarily in New York and New Jersey

An affiliate of JTRE Holdings LLC to acquire Blink's Chicago, Houston, and California locations

Sale expected to close later this year

NEW YORK, Nov. 12, 2024 /PRNewswire/ -- Blink Fitness ("Blink" or the "Company"), the affordable fitness brand known for its commitment to an inclusive and inviting environment, today announced that the U.S. Bankruptcy Court has approved the sale of Blink's corporate operations and New York and New Jersey locations to PureGym. On November 7, 2024, the Court also approved the sale of Blink's Chicago, Houston, and California locations to an affiliate of JTRE Holdings LLC ("JTRE"). 

Blink Fitness Logo (PRNewsfoto/Blink Fitness)

"We are pleased to have reached another milestone in our sale process, and look forward to emerging an even stronger business, under new ownership that believes in the value of our mission," said Guy Harkless, President and Chief Executive Officer of Blink Fitness. "We are excited to continue our work to position the business and various gyms for long-term success, as we remain focused on providing members with an inclusive, community-focused gym experience. I'd like to reiterate my thanks to each member of Blink Nation, who go the extra mile every day, providing members with an elevated gym experience."

Humphrey Cobbold, CEO of PureGym commented, "We are delighted with the court approval which sets us well on the way to completion later this year. We have enjoyed working with and getting to know the Blink Fitness team and are looking forward to working with them to deliver a fantastic fitness experience for members. It is also the right moment to pay tribute to the PureGym team who have been involved in our acquisition of Blink Fitness. In getting to this point our team has worked tirelessly over the last few months, with great professionalism and dedication, and I pay tribute to the role they have played in what is a transformational moment for PureGym in the USA."

"We have long admired Blink's mission to democratize fitness for all and we are excited to carry this forward through JTRE's acquisition," said Jack Terzi, CEO JTRE. "Having access to a welcoming environment for physical fitness is important to both our team and the communities we serve. I am delighted that JTRE can be a steward of the Blink mission moving forward."

Agreement Details

As previously announced on October 31, 2024, PureGym, whose investors include Leonard Green & Partners and KKR, will acquire Blink's corporate operations and a substantial portion of Blink's locations, with a focus on New York and New Jersey for $121 million in cash. PureGym also intends to assume certain liabilities. 

In addition, Blink has entered into an agreement with an affiliate of JTRE Holdings LLC under which JTRE will acquire Blink's Chicago, Houston, and California locations. Blink is collaborating closely with JTRE Holdings to develop a seamless transition plan for these sites and will keep stakeholders informed as further decisions are made. The transaction with JTRE does not include franchise locations, which continue to operate as usual.

Both transactions are expected to close later this year.

Additional Information

Additional information regarding the Company's court-supervised process is available at Blink's restructuring website, http://www.BlinkFitnessFuture.com.

Court filings and other information related to the proceedings are available on a separate website administered by the Company's claims agent, Epiq, at https://dm.epiq11.com/BlinkFitness or at 877-607-9009 (for toll-free U.S. and Canada calls) or 1-971-365-4515 (for tolled international calls). 

Advisors

Blink Fitness is represented by Young Conaway Stargatt & Taylor, LLP as legal advisor, Moelis & Company as financial advisor, and Portage Point Partners as restructuring advisor, with Steven Shenker serving as Chief Restructuring Officer.

About Blink Fitness 

Blink Fitness - a premium and affordable fitness brand known for its commitment to an all-inclusive environment - is the gym for "every body" who wants to feel their best and improve their life through fitness. Blink provides a super-friendly and squeaky-clean experience with more than 80 locations throughout New York, New Jersey, California, Illinois, Massachusetts, and Texas. Blink has been ranked on the Inc. 5000 list four times, was recognized as one of the top health clubs by Club Industry, and has been acknowledged for its affordability on "best gym" lists by Men's Health, Sports Illustrated, Time Out New York, Byrdie, and Forbes Health. 

For more information about Blink, visit us here. 

About PureGym

PureGym is a leading global gym operator, with around two million members across more than 600 gyms in six countries. PureGym operates corporate owned gyms in the UK, Denmark, Switzerland and the USA (the latter under the Pure Fitness brand) in addition to 20 sites operated by a franchise partner in Saudi Arabia and the UAE (under the PureGym Arabia brand).

PureGym was launched in the UK in 2009 where it pioneered the model for affordable, flexible, high-quality fitness clubs and is now the clear leader in the UK market. Typically, its members pay monthly and have no contractual commitment. Most of its gyms are open 24/7 and offer a full range of fitness equipment, including cardiovascular equipment, fixed-resistance and free weights as well as classes. PureGym is jointly owned by Leonard Green & Partners, KKR and over 100 members of the Group's management team.

As of 30 June 2024, Pure Gym had 387 gyms in the UK, 161 gyms in Denmark, 45 gyms in Switzerland, 3 gyms in the USA and 20 franchise gyms in the Middle East (18 in Kingdom of Saudi Arabia and 2 in United Arab Emirates).

PureGym is actively franchising in the Middle East and looking for partners in other markets. In the USA PureGym is seeking franchise partners operating under its PureFitness brand. More information can be found at https://www.purefitness.com/franchise/.

Contacts:

Blink Fitness:
Rachel Rosenblatt / Rose Temple
FTI Consulting
BlinkComms@fticonsulting.com 

PureGym:
Robert Morgan / Rachel Miller
Sanctuary Counsel
puregym@sanctuarycounsel.com 

JTRE Holdings LLC:
Chris Miller
cm@jtreholdings.com

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SOURCE Blink Fitness

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