Largest Franchisee Accelerates Growth
Austin, TX (October 23, 2017) – United PF Partners (United PF), the largest Planet Fitness (NYSE: PLNT) franchisee, completed two add-on acquisitions of Planet Fitness franchisees in the Phoenix and New Orleans markets, increasing its operating club count by 11 clubs to 78 across 10 states. In November 2016, JLM Financial Partners (JLM) and Eagle Merchant Partners (Eagle) created United PF with 59 operating clubs
Founded in 1992 in Dover, N.H., Planet Fitness, home of the Judgement Free Zone®, is one of the largest and fastest growing franchisors and operators of fitness clubs with more than 1,400 clubs and over 10 million members. Planet Fitness targets the roughly 80-85 percent of the U.S. population who does not belong to a gym by delivering a high-quality, high-value fitness experience in a non-intimidating environment.
In addition to recapitalizing the ownership of the Phoenix and New Orleans club groups, the investments from United PF will provide capital to fuel club-level improvements and organic growth through the development of new clubs in these markets. United PF’s capitalization and scale will continue to provide the opportunity for rapid organic growth and acquisitive growth in contiguous geographies.
“We have known both groups for a number of years and the United PF team is thrilled to welcome the New Orleans and Phoenix groups to our growing enterprise,” said Trey Owen, CEO, United PF. “These club groups are fast growing, high performance and will fit in nicely with our existing platform, furthering our ability to share best practices and leverage scale across all of our clubs.”
United PF is a growth-oriented franchise with significant room for new club development under its area development agreements. This partnership, led by Owen, brings a depth of fitness and multi-unit industry experience to the leadership team and the board. Members of the Thomas group of the greater Phoenix area and the Sinopoli/Hurring/Siragusa group of New Orleans will retain ownership and certain leadership roles in United PF. The board, which includes members of JLM and Eagle, possesses deep multi-unit franchise and development experience.
Financing for United PF was jointly led by Goldman Sachs Specialty Lending Group and AB Private Credit Investors, co-agents and co-lead arrangers and Antares, co-lead arranger.
About United PF Partners
United PF is the largest Planet Fitness franchisee in the U.S. with 78 clubs and development rights to build new clubs across the Midwest, South, and Mid-Atlantic regions. Led by Trey Owen, CEO, United PF is the combination of seven leading Planet Fitness franchisees with clubs across ten states, including Alabama, Arizona, Kansas, Louisiana, Mississippi, Missouri, Oklahoma, Pennsylvania, Texas and West Virginia. United PF’s keys to success are selecting optimal locations, operating exceptionally clean clubs, providing a friendly customer experience and protecting the Judgement Free Zone®.
About JLM Financial Partners
JLM Financial Partners, an affiliate of JLM Financial Investments founded by Larry Meyer, is a private investment firm based in Austin, Texas that owned 25 Planet Fitness clubs with a sizable area development agreement which are now part of United PF Partners. JLM also owns and manages assets and investments in healthcare and real estate. For more information, visit http://www.jlmfinancialpartners.com.
About Eagle Merchant Partners
Eagle Merchant Partners is an Atlanta, Georgia based private equity firm focused on lower middle market companies in the multi-unit consumer, logistics and industrial sectors in the Southeastern United States. The partnership is one of the most experienced private equity investors in the region, investing in sixteen companies with more than $1.5 billion in revenues.