Fitness One to shape up its expansion plans

Fitness One, a Chennai based company is planning to add 30- 40 outlets in the next one and half year. The company is planning to expand through both the routes - three-fourth of these outlets will be company owned and the rest will be franchised.

The company has planned to raise fund of around Rs 25 crore through private equity for its expansion. For raising the fund, it is all set to dilute 15- 20 per cent of its equity shares. Earlier in 2007, the Mauritius-based India Equity Growth Fund has bought 4.5 per cent shares in Fitness One that has raised its value to Rs.100 crore. However, early this year Fitness One has bought its stakes back.

The five year old company has a chain of 75 outlets that runs on large format (more than 6,000 sq. ft), small form at Express and women’s only Pink centers, apart from outlets in IT parks and corporate offices.