Planet Fitness buys Sunshine Fitness franchisee for $ 800 million

A man trains at Planet Fitness as they reopen 25 percent in Boston’s Dorchester on February 1, 2021.

Jessica Rinaldi | Boston Globe | Getty Images

Planet Fitness said Tuesday it plans to acquire Sunshine Fitness, the operator of more than 100 Planet Fitness in the US, in a $ 800 million cash and stock deal.

The deal is expected to close in the first quarter of 2022, the company said. Planet Fitness said the deal is forecast to boost its adjusted earnings this year by a low double-digit percentage.

According to CEO Chris Rondo, the purchase of Sunshine Fitness will allow Planet Fitness to expand its geography. Sunshine Fitness operates primarily in the Southeast, South Carolina, North Carolina and Florida.

“Owning corporate stores is an important part of our strategy as it gives us relevance and trust in making decisions that affect the entire system,” said Rondo.

According to him, after the completion of the transaction, Planet Fitness will have more than 200 corporate offices, or about 10% of the total portfolio.

Planet Fitness said it ended 2021 with 15.2 million members, up 1.7 million over the past 12 months. The company opened 132 facilities during the year, surpassing its own expectations and bringing the total number of gyms worldwide to 2,254.

Planet Fitness shares are up about 17% in 2021.

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