Crunch Fitness is fueling up.
What’s happening: Leonard Green & Partners (LGP) acquired a majority interest in the high-value, low-price gym franchise from TPG Growth and other minority shareholders.
PE makeover. Bankrupt in 2009, Crunch Fitness rebuilt itself as a top US gym chain. Since TPG’s 2019 investment, Crunch has signed up 2.1M exercisers, eclipsing 500+ gyms and 3M members.
Evolving with holistic-minded consumers, it unveiled a club redesign called “3.0,” adding strength equipment, saunas, red light therapy, and heated studio classes.
Exploring a sale since late last year, analysts predicted a deal value north of $1.5B.
Onward. Detailing an “exciting new chapter,” CEO Jim Rowley is pushing aggressive expansion, both domestically and internationally — including a 75-franchise deal for India.
In 2025, Crunch intends to open two gyms per week while its largest franchise groups—namely CR Fitness Holdings—also expand through M&A.
No brakes. With growing recurring revenue and the addition of higher-margin services, Crunch fits a mold favored by private equity: scalable franchise models with strong brand equity.
Following cash injections to Barry’s, Equinox, and [solidcore]—plus Roark Capital-owned Purpose Brands targeting European growth for Anytime Fitness and Orangetheory—it’s in well-funded company.
Punchline: A loyal community and brand equity are a moat in a highly competitive franchise space. Leveraging a proven model and high consumer sentiment, Crunch’s fresh capital gives it strategic firepower.
