Equity firm TDR buys prestigious health club here in £700m deal
ONE of the most prestigious health clubs in Ireland is being sold as its owner is taken over by a private equity firm.
David Lloyd Leisure has agreed to sell itself to private equity firm TDR Capital in a deal worth £700m (€831m).
DLL owns the Riverview club in south Dublin – one of the most exclusive clubs in the capital and known as the main tennis centre in the country.
The deal is not expected to affect business at the David Lloyd clubs, with membership apparently unchanged by the TDR takeover. Membership starts at around €95 a month.
TDR, which backs restaurant chain Pizza Express and holiday operator Centee Parcs UK, did not reveal the exact value of the transaction but market watchers estimated it at a little more than £700m.
The deal provides more evidence of increased interest from private equity firms in the fitness industry. CCMP Capital Advisors said in April that it would be buying British discount gym operator Pure Gym.
In June, Phoenix Equity Partners joined Bridges Ventures to provide a further £50m of equity in The Gym, which operates no-frills fitness chain The Gym Group.
David Lloyd Leisure and TDR have discussed making a £50m investment into the chain to add to its 81 UK sites and continue its expansion in Europe, DLL said in a statement.
"With the support of TDR we are confident we will be able to deliver our future growth ambitions," Scott Lloyd, DLL chief executive and son of founder and former British Davis Cup captain David Lloyd, said in the statement.