Blink Fitness Receives Court Approval for Sale
Posted: November 13, 2024 in Chains
Blink Fitness
NEW YORK, N.Y. – Blink Fitness (“Blink” or the “Company”), the affordable fitness brand known for its commitment to an inclusive and inviting environment, announces that the U.S. Bankruptcy Court has approved the sale of Blink’s corporate operations and New York and New Jersey locations to PureGym. On November 7, 2024, the Court also approved the sale of Blink’s Chicago, Houston, and California locations to an affiliate of JTRE Holdings LLC (“JTRE”).
“We are pleased to have reached another milestone in our sale process, and look forward to emerging an even stronger business, under new ownership that believes in the value of our mission,” said Guy Harkless, President and Chief Executive Officer of Blink Fitness. “We are excited to continue our work to position the business and various gyms for long-term success, as we remain focused on providing members with an inclusive, community-focused gym experience. I’d like to reiterate my thanks to each member of Blink Nation, who go the extra mile every day, providing members with an elevated gym experience.”
Humphrey Cobbold, CEO of PureGym commented, “We are delighted with the court approval which sets us well on the way to completion later this year. We have enjoyed working with and getting to know the Blink Fitness team and are looking forward to working with them to deliver a fantastic fitness experience for members. It is also the right moment to pay tribute to the PureGym team who have been involved in our acquisition of Blink Fitness. In getting to this point our team has worked tirelessly over the last few months, with great professionalism and dedication, and I pay tribute to the role they have played in what is a transformational moment for PureGym in the USA.”
“We have long admired Blink’s mission to democratize fitness for all and we are excited to carry this forward through JTRE’s acquisition,” said Jack Terzi, CEO JTRE. “Having access to a welcoming environment for physical fitness is important to both our team and the communities we serve. I am delighted that JTRE can be a steward of the Blink mission moving forward.”
Agreement Details
As previously announced on October 31, 2024, PureGym, whose investors include Leonard Green & Partners and KKR, will acquire Blink’s corporate operations and a substantial portion of Blink’s locations, with a focus on New York and New Jersey for $121 million in cash. PureGym also intends to assume certain liabilities.
In addition, Blink has entered into an agreement with an affiliate of JTRE Holdings LLC under which JTRE will acquire Blink’s Chicago, Houston, and California locations. Blink is collaborating closely with JTRE Holdings to develop a seamless transition plan for these sites and will keep stakeholders informed as further decisions are made. The transaction with JTRE does not include franchise locations, which continue to operate as usual.
Both transactions are expected to close later this year.
Additional Information
Additional information regarding the Company’s court-supervised process is available at Blink’s restructuring website, www.BlinkFitnessFuture.com.
Court filings and other information related to the proceedings are available on a separate website administered by the Company’s claims agent, Epiq, at dm.epiq11.com/BlinkFitness or at 877-607-9009 (for toll-free U.S. and Canada calls) or 1-971-365-4515 (for tolled international calls).
Advisors
Blink Fitness is represented by Young Conaway Stargatt & Taylor, LLP as legal advisor, Moelis & Company as financial advisor, and Portage Point Partners as restructuring advisor, with Steven Shenker serving as Chief Restructuring Officer.
