With Corpfin’s backing, Ingesport has implemented an impressive expansion strategy across Spain, has entered Portugal and is considering other new markets - all in just four years. The relationship between Ingesport and Corpfin began in 2007 and together they identified the high-growth potential of the emerging concession segment of Spain’s fitness industry.
After two years of market research and intense dialogue with Ingesport’s management, Corpfin invested in the business in 2009. Corpfin continues to support Ingesport with expertise in negotiating and financing new contracts, as the business looks set to continue its impressive growth trajectory throughout 2014 and beyond.
The financial support of Corpfin has been critical in the development of our expansion plan, but above all, we value their strategic vision and management support.
Gabriel Sáez CEO, Ingesport
What did the business need?
- Capital for expansion
- Strategic guidance
- Support for fast growth through opening new sport centres, including outside its domestic Spanish market
- Strong financial discipline
How did private equity backing create lasting value?
- Identified highly favourable concession model, ongoing support for management in its execution
- From a team of two, created a full blown management team and a complete corporate governance structure
- Launched Go Fit brand, based on a strong value-for-money proposition
- Imposed financial discipline, particularly for new openings or acquisitions
- Developed an international expansion plan
What outcomes did private equity investment achieve?
- Expanded from just one to18 owned sites all over Spain in six years, with new sites planned
- Established new presence in Portugal, with planned entry to other markets
- Increased employee numbers from 46 to 637 between 2009 and 2015 – and this is ongoing
- Grown member numbers from 9,573 to 144,625 between 2009 and 2015 – and this is ongoing
- The concession-based model granted by municipalities has also expanded into agreements with other types of entity, such as religious orders