Gym chain Crunch Fitness has hired Citigroup to look at strategic options that could include a sale, according to The Wall Street Journal.
Angelo Gordon & Co. and New Evolution Ventures have backed the New York business since purchasing it out of bankruptcy in 2009.
The company is reportedly expected to generate $190 million in revenue and $27 million in EBITDA this year.
According to the IHRSA (International Health, Racquet & Sportsclub Association), the $30 billion health and fitness industry in the U.S. has been growing by at least three to four percent annually for the last ten years.
Currently about 20 percent of American adults have a fitness club membership, a number that in my opinion could easily double in the next 10 – 15 years.
Crunch LLC owns, operates, and franchises fitness centers in the United States and Australia.
It offers hip-hop aerobics, co-ed action wrestling, cyked Yoga cycling, and other classes, as well as personal and treadmill training services in its corporately owned and franchised locations.
In addition, the company sells gym’s fly gear, including tees, hoodies, gym bags, and more through its online store.
Crunch LLC was founded in 1989 and is based in New York.