The Equinox-owned low-cost gym chain is now exploring a sale
Equinox-owned Blink Fitness has voluntarily filed for bankruptcy as it explores a sale, the low-cost gym operator announced Monday.
The fitness chain has received a $21 million commitment in new debtor-in-possession financing from its existing lenders, which Blink Fitness says will support its gym business during the process along with the cash generated from its ongoing operations.
Blink Fitness has over 100 locations throughout New York, New Jersey, Pennsylvania, California, Illinois, Massachusetts and Texas.
“Over the last several months, we have been focused on strengthening Blink’s financial foundation and positioning the business for long-term success,” Blink Fitness president and CEO Guy Harkless said in a statement. Harkless had joined Blink Fitness at the end of 2023 , appointed to implement a strategy to support the fitness gym’s growth trajectory and business performance.
“After evaluating our options, the board and management team determined that using the court-supervised process to optimize the company’s footprint and effectuate a sale of the business is the best path forward for Blink and will help ensure Blink remains the destination for all people seeking an inclusive, community-focused gym,” he continued.
Despite Blink’s bankruptcy news, the budget-friendly gym operator said its revenue has increased by nearly 40% over the last two years. The fitness chain also disclosed it had filed certain motions with the court for approval to continue paying employee wages and benefits and intends to pay vendors and suppliers in full.
Earlier this year, Blink Fitness announced a multimillion-dollar investment in 30 of its most frequented gyms , equipping them with over 1,700 new pieces of cardio and strength training equipment recovery technology from Hyperice and WellnessSpace Brands and refreshing their interiors — a strategic initiative Blink Fitness says will continue. The low-cost fitness chain had also said it would launch a certified personal training program for its staff members in partnership with Focus Personal Training Institute.
In an interview with Athletech News in April, Harkless noted he was encouraged by the engagement of Blink Fitness members.
“We’re essentially at the same level that we were during the pre-COVID period in terms of check-ins per location, and we continue to see growth year-over-year,” he said.
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