Cape Town – South African billionaire Christo Wiese’s fitness group Virgin Active is expanding into Germany after agreeing to acquire premium gym operator Holmes Place Germany for €135 million ($151.2 million), strengthening its presence in Europe’s largest fitness market.
The acquisition, announced on Monday, November 9, will give Virgin Active access to 13 premium fitness clubs across six German cities – Berlin, Düsseldorf, Hamburg, Cologne, Essen and Lübeck – with approximately 84,100 members.
According to Billionaires.Africa, the transaction is worth approximately R2.5 billion. Virgin Active is controlled by Wiese-backed investment company Brait.
The deal, signed unconditionally on October 30, is expected to be completed by mid-December 2026 and will be funded using Virgin Active’s existing cash resources.
Reporting on the acquisition, Business Day said Holmes Place Germany is expected to generate €70.2 million in revenue and €21.5 million in earnings before interest, tax, depreciation and amortisation (EBITDA) for the year ending December 2026, with earnings projected to grow by 27%.
Important milestone
Following the acquisition, Virgin Active’s international operations are expected to contribute 56% of group EBITDA, while Holmes Place Germany alone is projected to account for approximately 14%.
Virgin Active chief executive Dean Kowarski said the acquisition marked an important milestone in the company’s international expansion.
In a statement published by The National, Kowarski said: “We are acquiring a high-quality network of clubs in major cities, a highly experienced team and a loyal membership base.”
He added that the company intended to introduce its Social Wellness Club model, bringing together fitness facilities, recovery and spa services, group exercise and spaces for members to work and connect.
Germany has approximately 12.4 million fitness club members, making it Europe’s largest fitness market. Its premium fitness segment is forecast to grow at an annual compound rate of 9.3% through to 2028, according to the European Health & Fitness Market Report 2026.
International growth
Virgin Active said acquiring an established operator would provide immediate market scale while avoiding the costs and risks associated with building a new network of clubs.
The existing Holmes Place Germany management team, led by chief executive Doron Dickman, will remain in place, with the integration and rebranding of the clubs taking place gradually.
According to AUCTUS Capital Partners, which jointly owned Holmes Place Germany with Holmes Place Europe, the business expanded from seven to 13 clubs during its decade-long ownership, with revenue and membership roughly tripling.
The acquisition comes as Brait continues to position Virgin Active for further international growth. The investment group owns 61.3% of the fitness business, with Wiese remaining its largest shareholder through his investment vehicle, Titan.
Virgin Active operates 224 clubs across 10 countries, serving more than one million members. Its EBITDA increased by 37% to £110 million for the year ended December 2025.
The German acquisition is expected to increase Virgin Active’s net debt-to-EBITDA ratio from 2.4 times to approximately 2.9 times following completion.
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Compiled by Betha Madhomu
