Planet Fitness Makes Another Attempt to Expand Its Network of Branches

Planet Fitness is once again aiming to expand its network of locations and has made a second offer for the fitness chain Blink Fitness, according to recent reports. This news caused Planet Fitness's stock to rise by more than 5% temporarily. Blink Fitness currently belongs to Equinox Holdings, a New York-based company that also operates other clubs and brands in the UK, Canada, and the USA. After an unsuccessful attempt to establish itself in the US budget fitness market, Blink had to file for bankruptcy protection in August. A hearing was held in Delaware on Wednesday to review the new bids. Planet Fitness had previously lost out to the British company PureGym in the bankruptcy auction for Blink, partly due to antitrust concerns. PureGym secured Blink's assets and 60 fitness locations in New York and New Jersey with a bid of $121 million. Now, Planet Fitness has submitted two new proposals. The first amounts to $142 million, including a down payment of over $28 million, without the company having to address antitrust concerns in advance. The second proposal raises the bid to $155 million with a down payment of $31 million, but includes certain regulatory measures to prevent antitrust violations. The company, which has more than 2,000 clubs in the USA and an estimated value of about $6.8 billion, has been continuously expanding for years. In January 2022, Planet Fitness announced the acquisition of 114 Sunshine Fitness locations in the southeastern USA for $800 million.