BENGALURU: The Mukesh Bansal-founded wellness startup Cure.fit has snagged premium fitness chain Fitness First — its fourth acquisition in this space after it bought 1000yoga, Cult and Tribe — motivating its customers to kick off a healthy routine with some help from its technology platform.
Global alternative investment management firm Oaktree-backed Fitness First has 10 clubs across NCR and Mumbai with over 20,000 members. The combined platform will have a membership base of over 40,000 people with a presence in Bengaluru, NCR and Mumbai. Oaktree will make additional investments in Fitness First and will remain a shareholder in Cure.fit after the transaction is complete.
The global fund house has $121 billion in assets under management and its investor base includes pension plans, insurance companies, endowments, foundations and sovereign wealth funds.
Sources told TOI that the size of the deal could be in the range of $30-35 million. However, the company refused to disclose details. As part of the transaction, Fitness First will become a wholly owned subsidiary of Cult.fit, one of the fastest-growing fitness brands in the country by leveraging tech and data to provide a holistic wellness platform. Cult has over 40 fitness centres focused on functional workouts and group exercises. “With this acquisition, we get a strong presence in the NCR region and Mumbai,” Bansal said.
Cure.Fit, founded by Bansal and Ankit Nagori in 2016, caters to living a healthy life through four dimensions -- Eat.fit, Mind.fit, Cult.fit and Care.Fit , the latter being the latest one to be rolled out in June to bring back the concept of family doctor into the mainstream.
Cure.Fit has raised nearly $60 million in equity and debt funding till date from roster of marquee investors including Accel Partners, IDG, Ratan Tata and UC RNT. In January, it raised about $10 million in debt financing from HDFC Bank and Axis Bank.
Bansal said the firm plans to add 200 out of the 500 centres through the inorganic route. Cult.Fit currently caters to adults in the 18 to 60 plus age group and it has integrated its app with fitness devices including Fitbit, Apple Health and Google Fit.
The fitness space is seeing greater traction with many players focusing on wellness through platform and app-based approach. Pankaj Karna, founder and managing director of Maple Capital Advisors said, “We see a massive headroom across the consumer spectrum in the emerging sports, wellness and fitness sector. This marquee consolidation was unique to both partners from a business synergy, value, transaction structure and future potential perspective.” Oaktree was advised by New Delhi-based boutique investment bank Maple Capital Advisors.