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Telegram & Gazette (Massachusetts)
A Connecticut operator of franchised Crunch Fitness centers has acquired Northboro-based Boost Fitness and will convert the eight Boost gyms to Crunch facilities.
Fitness Holdings LLC of Greenwich purchased Boost's business from Mark A. Federico, who then bought a stake in the franchisee and will remain involved in its operations.
Financial terms were not disclosed.
The deal will not impact Boost members or workers, Mr. Federico said. He described the transaction as an opportunity for him to pull some cash out of the business, while staying involved in an operation that Fitness Holdings plans to grow.
"I love the business," Mr. Federico said. "It was exciting when Fitness Holdings came to us. We had been approached previously. When we were approached by companies … I had turned down those offers because I still wanted to be involved."
Fitness Holdings is a privately held operator of franchised Crunch gyms in the northeastern United States, including two it owned in Massachusetts before the Boost deal. Inc. magazine last year named Fitness Holdings one of the fastest-growing private businesses in the country, with 2016 sales of about $15.3 million.
Crunch is a health club chain based in New York City. It has franchised sites around the country.
Mr. Federico launched Boost in 1995 with one facility. It now has about 40,000 members and about 200 employees. Members will retain their membership under the terms of their agreements with Boost, Mr. Federico said, and the workers remain employed by the new owner.
The eight centers - all of them operating in leased spaces - offer fitness equipment, exercise classes and personal training services. Memberships start at about $10 a month.
Mr. Federico said he plans to focus on converting the Boost centers to Crunch facilities and get involved in Fitness Holdings plans to expand to 50 centers in New England over the next five years.
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