Will Sports Direct buy LA Fitness gyms?

Written by companyrescuelondonadmin 3 April 2017

Sports Direct, among others, are in talks to buy LA Fitness clubs, after plans of a restructure were approved in March.

LA Fitness entered a company voluntary arrangement (CVA) with its landlords at the end of March, allowing the business to restructure and put up 33 gyms for sale. The aim was to reduce debt by around £250 million and improve service and equipment on the remaining 47 gyms in the business.

Owner of Sports Direct, Newcastle United Football Club and a number of brands, such as Lonsdale and Dunlop, Mike Ashley is looking to buy the gyms to continue growing sales of sports brands.

It is yet unclear whether Sports Direct will be successful with its bid but there is no doubt a lot of interest in acquiring the 33 gyms across the UK.

Categories: CVA, What is a CVA or Company voluntary arrangement?