TDR Buys David Lloyd Gym Chain From Itself
- September 9, 2025 - The private equity firm TDR Capital has opted to retain ownership of David Lloyd leisure, a UK-based gym chain, after previous attempts to sell...
- Since then, the company has expanded from 90 clubs to over 130, primarily in the UK, with additional locations in Europe Financial Times.
- In 2023, David Lloyd invested £46 million in "investment and innovation," signaling a continued commitment to upgrading its offerings.
David Lloyd Leisure: Private Equity Firm TDR capita Retains Ownership
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September 9, 2025 – The private equity firm TDR Capital has opted to retain ownership of David Lloyd leisure, a UK-based gym chain, after previous attempts to sell the buisness were unsuccessful. This decision follows a deal where TDR sold its stake to a continuation vehicle, effectively allowing investors to exit while the firm continues to manage the company.
Background: TDR Capital’s Acquisition and Growth Strategy
TDR Capital initially acquired David Lloyd in 2015. Since then, the company has expanded from 90 clubs to over 130, primarily in the UK, with additional locations in Europe Financial Times. This growth has been coupled with a “premiumisation” strategy, focusing on enhancing club facilities, including the addition of spa retreats.
In 2023, David Lloyd invested £46 million in “investment and innovation,” signaling a continued commitment to upgrading its offerings. The company is also focusing on expanding facilities for popular sports like padel tennis.
Financial Performance and Debt
By 2021,TDR Capital had recouped over £550 million in dividends and repayments from David Lloyd,nearly three times its initial investment Financial times. A portion of this return was achieved through increasing debt levels at David Lloyd.
The Continuation Vehicle and Future Investment
The sale to a continuation vehicle, managed by TDR, involved setting aside £100 million for further investment in David Lloyd. This funding will support the opening of new clubs and continued improvements to existing facilities Financial Times.
Key Personnel and Statements
Tom Mitchell, managing partner at TDR Capital, described David Lloyd as a “highly successful investment” and expressed optimism about the company’s future prospects Financial Times. Russell Barnes, chief executive of David Lloyd, echoed this sentiment, emphasizing the ongoing focus on investing in premium features, including spas and padel facilities.