Sagicor Investments takes minority stake in Express Fitness
Norbrook Equity Partners announced Thursday that it has sold a 10 percent stake in Express Fitness Limited to Sagicor Investments Jamaica Limited.
The investment is the first step in a broader partnership between the two organisations to develop the Caribbean’s leading health and wellness platform, Norbrook stated in a statement.
The investment, which values Express Fitness at over $2.3 billion, will be used to expand the company’s base of health and wellness solutions including over 20 fitness facilities across the Caribbean by the end of 2020.
Norbrook Executive Chairman Khary Robinson said he is pleased to have Sagicor as a partner with Express Fitness.
“With the continued growth and awareness of health and wellness in the Caribbean, we have the unique opportunity to develop the region’s most comprehensive health and wellness platform – including fitness centers, concept gyms, nutrition centers and other wellness solutions,” he said.
Executive chairman of Norbrook Equity Partners
Robinson went on to note that the the unique distribution and investment capacity of Sagicor, as well as their commitment to health and wellness would significantly accelerate the growth plans of Express Fitness.
Express Fitness has already started to expand with six gyms being developed in Jamaica, including a flagship location on Constant Spring Golf Course, which will become the largest fitness facility in the Caribbean.
“The facility will include over 22,000 square feet of fitness solutions, including a traditional gym under the Express Fitness Platinum brand, a cross-training and cross-fit facility, a running track and much more.”, said Robinson.
The new facility is expected to launch in March 2020.
For his part, CEO of Sagicor Investments, Kevin Donaldson, said: “We believe that a part of developing the nation is to make an investment in wellness. Creating and supporting the infrastructure that delivers fitness solutions that improve the nation’s population is a part of the overall improvement of the well-being of the country. This is just another step in contributing to the sustainable growth of the Jamaican economy through supporting businesses with strong growth prospects.”
CEO of Sagicor Investments, Kevin Donaldson
What’s more, Norbrook Equity Partners said it intends on making Express Fitness a leader in the region and expects the company to be publicly listed in short order to further its growth mission.
“Express Fitness is a great fit for our business model as we see significant opportunity in the health and wellness sector. With the investment support of Sagicor Investments, and ultimately of institutional and retail investors, we are well-positioned to become the dominant solution provider across the Caribbean region. Even though consumers have experienced significant enhancement in fitness offerings over the past few years, the surface has barely been scratched and we are excited to dive in”, said Robinson.
Norbrook plans to continue investing significantly in the expansion of the company using a mix of acquisitions and organic growth initiatives, according to Robinson.
“Before we make an investment, we always have a defined path for growth. Accordingly, we have already lined up a few key acquisitions, several new gym sites that are primed for our gym format, and a few new gym concepts that are proven to bring unique value to the market and the business. In fact, in addition to our new Jamaican gyms, we are already far down the road in launching our platform in two new Caribbean islands”, he said.
Another member of the Sagicor Group, Sagicor Life Jamaica Limited which focuses on life and health insurance, will also partner with Express Fitness given the alignment with their health and fitness objectives.
Norbrook has had meaningful success developing businesses in high growth industries through its unique approach of mixing acquisitions and organic growth.
After 33 acquisitions over the last decade, Norbrook now operates the local leader in ecommerce fulfillment (Mailpac); private transaction processing company in Jamaica (ePay); ice manufacturer and distributor (Pure National Limited), the local arm of the world’s largest car rental company (Hertz); water provider (JamAgua) and several other industry leading platforms.