Transaction Concludes Successful Partnership Between 24 Hour
Fitness and Forstmann Little & Co.
NEW YORK--(BUSINESS WIRE)--
Forstmann Little & Co. (“Forstmann Little”), a private investment firm,
today announced that it has completed the sale of 24 Hour Fitness
Worldwide, Inc. to an investment group led by AEA Investors LP and the
Ontario Teachers’ Pension Plan.
Headquartered in San Ramon, CA, 24 Hour Fitness is a leading health club
industry pioneer, serving nearly four million members and employing
21,000 fitness professionals in more than 400 clubs across the United
States. The company was acquired in 2005 by Forstmann Little, the
private equity firm founded and led by Theodore Forstmann. 24 Hour
Fitness is the last significant portfolio company controlled by the firm
following the death of Ted Forstmann in November 2011.
During its final year under Forstmann Little’s ownership, 24 Hour
Fitness was led by former Yahoo! executive Elizabeth Blair. Ms. Blair
joined 24 Hour Fitness in February 2013 and was named Chief Executive
Officer in September 2013. Ms. Blair announced that she will not be
remaining with the company following today’s sale.
“We would like to express our appreciation to our limited partners, who
have shown great patience in their support of 24 Hour Fitness and its
management through the years, helping lead to this successful outcome,”
said Winston Hutchins, General Partner of Forstmann Little.
“Today’s sale of 24 Hour Fitness brings to a close the final chapter of
Ted Forstmann’s remarkable career as an investor,” said Mark MacDougall,
a partner of the law firm Akin Gump Strauss Hauer & Feld, LLP, speaking
on behalf of Forstmann Little. “Elizabeth Blair has done an
extraordinary job in leading the company to this very successful
conclusion. I think that Ted would be very pleased with Elizabeth and
her executive leadership team over the past 16 months,” MacDougall noted.
“We would like to thank the Board of Directors and all of the employees
of 24 Hour Fitness for all that they have done to bring us to this day,”
said Forstmann Little Managing Director Kathleen Broderick. “We are
confident that this fine company will continue to flourish and grow
under the leadership of AEA and Ontario Teachers.”
The sale price and terms of the transaction were not made public.
The Abernathy MacGregor Group
Tom Johnson or
Source: Forstmann Little & Co.