Pure Gym Group Plc plans to sell 190 million pounds ($251 million) of stock in a London initial public offering as the operator of fitness clubs seeks to repay debt and pursue growth.
The majority of the proceeds from the offer, together with borrowings under new banking facilities, will pay existing bank debt in full, with the rest going to reduce net leverage and pursue “future growth opportunities,” the company said in a statement Wednesday. Shareholders including CCMP Capital Advisors, Hermes and the company’s management may sell some of their stock, the company said.
Pure Gym, founded in 2008, says it’s the largest gym operator in the U.K. by number of gyms and number of members.
Jefferies International Ltd. and J.P. Morgan Securities Plc are joint global coordinators, joint sponsors and joint bookrunners for the sale. Credit Suisse Securities (Europe) Ltd. is joint bookrunner; N M Rothschild & Sons Ltd is financial adviser to Pure Gym.