GymNation Adds $100M Backing as Regional Expansion Accelerates
Krissy Vann | Host, All Things Fitness and Wellness
GymNation is preparing for its next stage of growth after securing a $100 million private credit facility from funds, entities, and accounts managed, advised, or controlled by HPS Investment Partners, part of BlackRock.
The financing marks one of the larger regional investments completed since the recent Iran conflict began and positions the Middle East's largest low cost gym operator to expand both within the GCC and internationally.
Founded in the UAE in 2018 by Loren Holland, Frank Afeaki, and Ant Martland, GymNation entered the market with a focus on affordable fitness. Since opening its first location in Al Quoz, Dubai, the company has grown to nearly 50 locations across the UAE, Saudi Arabia, and Bahrain, serving more than 200,000 members.
The new facility includes $75 million in committed capital and a further $25 million accordion option. The funding follows a multi-year capital journey that has seen institutional investment continue to scale alongside the business.
In 2023, GymNation's founding team completed a management buyout with support from Ruya Partners and Tricap Investments. The latest refinancing transaction also represents an exit for Ruya Partners, which played a role in supporting both the buyout and the company's entry into Saudi Arabia.
"Securing $100 million of growth capital is a transformational milestone for GymNation and provides the platform for us to expand our footprint across the GCC and beyond," said Loren Holland, CEO and Founder of GymNation.
"What was most encouraging throughout the process was the conviction shown by HPS and all stakeholders involved, who despite the challenging geopolitical environment, never lost confidence in the business or the long term prospects for the region."
The investment will be directed toward three primary initiatives.
The first is geographic growth across the GCC. GymNation has outlined plans to exceed 100 locations over the next three years, supported by a new regional headquarters in Riyadh.
The second area focuses on technology investment, including the company's proprietary platform and expanded data, artificial intelligence, and machine learning capabilities intended to support operational performance.
The third area is international expansion. The company indicated that it is preparing to enter Asia, marking its first move outside the GCC region.
"The GCC represents one of the most exciting and highest growth fitness markets in the world right now," Holland added. "We also believe the GymNation brand and unique business model is transferable into other international markets, and we will soon be announcing our first expansion outside of the GCC, into Asia."
The company also announced that more than 50 members of GymNation's senior leadership team have been granted participation in a long term incentive equity plan designed to align management with shareholder interests as the business grows.
The funding comes at a time when the GCC fitness market continues to attract attention from operators and investors alike, driven by growing participation rates, population expansion, and increasing consumer interest in health and wellness. GymNation's latest raise signals continued confidence in both the regional fitness sector and the scalability of value focused gym models.
