Forever Fitness clubs bought by healthcare group

14 Feb 2018

Ten gyms trading as Forever Fitness in southern Finland have been acquired by Pihlajalinna, one of the country’s leading social and healthcare service providers. The two remaining clubs are franchises, which will continue to operate as such.

Pihlajalinna is a listed company with sales of €424.0 million in 2017. The group said it will own about 70% of the Forever centers, in a deal to be finalised at an undisclosed price this week. Mikko Mustala, Forever’s founder, will continue as managing director and shareholder.

“The fitness industry is changing widely these days in Finland, and hard price competition is really shaking the market, and forcing fitness clubs to lower their prices and service. We want to take a different road,” said Minna Pulkkinen, chief marketing officer for Forever Fitness.

With support from Pihlajalinna, Pulkkinen added, members at Forever gyms should get even more service. “Together with Pihlajalinna we will be the future of healthcare in Finland,” she said.

Forever Fitness describes itself as the third-largest operator in Finland with 20,000 members. The buyer said the clubs to be purchased generate sales of €17 million and strong profit. Price competition has come in the last years from operators such as as Fitness 24Seven from Sweden.

Read the full story in FNE#49.

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