News
The Sports & Leisure Group announces successful fundraising and new site openings
23rd July 2006
The Sports & Leisure Group Ltd (“SLG”), a leading developer and operator of multi sports and leisure facilities, announces an extension of its existing facilities with Allied Irish Bank to £30 million. The AIB facility is part of a fundraising round which also includes an additional £5m equity from shareholders Penta Capital and Civil Service Sports Council (“CSSC”). The new funds will be used to open 6 new sites over the next twelve months.
SLG operates two brands in the UK leisure markets: ROKO Health Clubs, a pioneer of “Premium Affordable” Health Clubs and PlayFootball, a leading operator in the new generation, small sided football centre market.
Since 1999, SLG has developed a land partnership model, initially with its founder CSSC and latterly through a number of other private and public land owner organisations. A “quasi freehold” model, the landlord provides favourable land agreements in the form of long leases and attractive rentals. In return, SLG funds the capital development costs and offers the land owner beneficial membership rates and off peak usage privileges over the new facilities.
To date, SLG has developed 4 ROKO Health Clubs in Portsmouth, Bournemouth, Nottingham and Gillingham with a combined full paying membership in excess of 18,000 and 6 PlayFootball centres in Portsmouth, Bournemouth, Preston, Blackpool Luton and Liverpool. The latest fundraising will support the opening of one ROKO Helath Club and 6 additional PlayFootball centres over the next 12 months. This will then take the group to 5 health clubs and 11 small sided football centres. In addition, the group is investing heavily in new site pipeline which is expected to more than double its estate by 2009.
Barry Hunter, The Sports & Leisure Group CEO said:
“Our land partnership model has given the Group a unique edge. This has led to the creation of two very effective brands in their respective markets. Today’s announcement secures the next stage in the company’s development and we look forward to accelerating our roll out of ROKO Health Clubs and PlayFootball centres over the next three years.”