Sport industry multiples

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October 31, 2020

by a searcher from HEC School of Management, Paris in Tunis, Tunisie

Hi everyone,
Does anyone knows about average multiples in the sport industry (fitness club chains)? MENA region data (if possible) would be most helpful.
Many thanks.

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commentor profile
Reply by an intermediary
from Naval Postgraduate School in Bellevue, WA, USA
Fitness clubs with lots of high tech machines are what the market wants. Accordingly fitness facilities are capital intensive with equipment that is often rendered obsolete by new technology. Accordingly the value calculation assumes that you will have capital equipment replacement costs accounted for. Value is strongly influenced by the amount of recurring income derived from automatic deductions from customers. In the US, fitness centers are highly competitive and there is downward pressure on EBIT multiples.
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Reply by a searcher
from Bridgewater State College in Providence, RI, USA
Hey Khalil,

I don't have specifics regarding industry multiples, but spent the better part of a year researching this space and almost acquired a small but profitable yoga studio. Would be happy to discuss further, feel free to shoot me a message here or at redacted
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