Morphosis Capital Fund I, a private equity fund focused on Romanian small and medium businesses, has acquired a majority stake in Stay Fit Gym, which currently operates seven fitness centers in Bucharest.
The investment value of Stay Fit Gym falls within the usual range of 5-10 million euros invested by Morphosis Capital, the fund said.
The capital injection from the private equity fund will contribute to the expansion of Stay Fit Gym in Bucharest and Romanian cities of over 100,000 inhabitants, through the opening of new fitness centers, and through the acquisition of independent operators.
The deal with Stay Fit Gym marks the third deal to be closed by Morphosis Capital in the past six months, after acquiring stakes in Cronos Med (cosmetic and plastic surgery) and EMI (production).
Stay Fit Gym was founded in 2012 by three Romanian entrepreneurs: Alexandru Lascar (CEO), Marius Preodisteanu (Head of Expansion), and Laurentiu Lascar (COO) (in the picture). It reported a sales figure of RM7.9 million in 2019, and RM7.1 million in 2020, which is a tough year for fitness industry operators due to restrictions linked to the pandemic.
“According to market studies, the fitness sector in Romania has great potential for development compared to other countries in Central and Eastern Europe. Currently, the Romanian fitness market is estimated at 250 million euros, while it is estimated at more than 1 billion euros in Poland, which is a similar economy in Europe Central and Eastern.Therefore, to take advantage of this potential, we want Stay Fit Gym to penetrate into cities, residential areas and office buildings, which are currently showing a huge demand for fitness activity.I am convinced that together we have all the components that are together,” said Andrei Gimenino, Managing Partner at Morphosis Capital. To expand nationwide, it is targeting the opening of 25 to 30 new Stay Fit Gyms throughout Romania.
“We are pleased with our partnership with Morphosis Capital as together we have the opportunity for rapid growth nationally by opening new fitness centers in locations where there is a great need for our services and a promising client base. We rely on the truth,” said Alexandru Lascar, CEO of Stay Fit Gym. , The Romanian fitness market will double in the coming years, therefore, through our fitness centers, we want to become a reference point in adopting a healthy lifestyle.
Morphosis Capital currently owns stakes in DocProcess, Medima Health, Dr. Leahu Dental Clinics, EMI, and Cronos Med. The private equity fund, with a committed capital of €50 million, was established in December 2018 by Romanian entrepreneurs Simona Gimenino, Gabriella Dumitru, Dragos Petri and Andre Gimenino.
(Photo courtesy of the company)