Youfit Health Clubs, the low-cost fitness chain founded by Rick Berks in 2008, has raised growth capital from PWP Growth Equity, a Perella Weinberg Partners private equity entity focused on investing in lower middle-market growth companies.
The terms of the deal were not disclosed. Berks will retain majority control of Youfit Health Clubs. David Ferguson and Chip Baird, partners at Perella Weinberg Partners, will join Youfit’s board of directors.
“This investment provides us with a strong foundation to continue our aggressive — yet measured — growth across the U.S.,” said Berks in a statement. “Our new partners’ past success with consumer-related businesses, and in particular, multi-unit retail, will help us accelerate our national expansion. Our goal is to become the country’s dominant non-franchise player in the value-price category within the next three years.”
Youfit operates 67 clubs in seven states. According to the company, the partnership is expected to significantly accelerate Youfit’s growth rate over the next few years. Currently, Youfit is opening at a rate of three to four clubs per month.
“Rick and the management team have a unique model delivering differentiated service offerings to the fitness market,” said Ferguson in a statement. “And that model has delivered exceptional returns and performance results.”
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Rachel Zabonick-Chonko is the editor-in-chief of Club Solutions Magazine. She can be reached at rachel@peakemedia.com.
