Budget gym company Pure Gym has settled on a sale to US buyout firm Leonard Green & Partners (LGP).
The terms of the deal were not disclosed, but it has previously been estimated that the sale of the company would bring in between £500m and £600m.
Buyers had been gearing up to swoop on Pure ever since the gym group reneged on its £190m IPO plans. The cancellation of its float left rival The Gym Group as the only gym operator on the London Stock Exchange.
Following interest from possible bidders including KKR, Pure Gym today announced that LGP would take over the majority stake currently held by CCMP Capital Advisors, which will exit the business entirely.
LGP has a portfolio which includes investments in well-known lifestyle brands such as Shake Shack, Soulcycle and Topshop.
“We are absolutely delighted to be entering into a new partnership with Leonard Green & Partners, whose investment confirms the growth potential of our business," said Humphrey Cobbold, chief executive of Pure Gym.
"They have some big brands in their portfolio and an excellent track record of investing in the leisure and fitness industry."
Kris Galashan, partner at LGP, said: "We have been incredibly impressed by the business that Humphrey and the team at Pure Gym have built over the last few years and believe that the business has tremendous potential for the future.”