Private equity firm TSG Consumer Partners has agreed to acquire high-growth, budget gym operator EoS Fitness in a transaction valuing the company at approximately $1.5bn, including debt, according to a report by the Wall Street Journal.
TSG, a consumer-focused investment firm with approximately $14bn in AUM, is acquiring EoS from fellow private equity firm BRS & Co, marking the latest in a string of sponsor-led fitness deals. The acquisition builds on TSG’s established track record in the health and wellness space, which includes stakes in Planet Fitness and CorePower Yoga.
Founded in 2014, EoS targets middle-income consumers with affordable memberships starting at $9.99 per month. The company has grown rapidly to more than 175 locations across key US growth markets including California, Arizona, Texas, and Florida. EoS has also emphasized experiential amenities — such as saunas, cold plunges, and dedicated content-creation spaces — alongside a broad array of group fitness classes to drive membership engagement and retention.
Rich Drengberg, CEO of EoS, will remain at the helm post-transaction and retain an equity stake in the company. Under his leadership, the gym chain recently surpassed 1.5 million members — with one-third of those joining in just the past two years. EoS aims to expand to over 250 locations nationwide by 2030 and is exploring M&A opportunities to accelerate growth.
The deal is the latest in a string of private equity activity in the fitness space. Leonard Green & Partners recently acquired Crunch Fitness, while Princeton Equity Group backed Barry’s Bootcamp earlier this year. In 2023, L Catterton took a majority stake in Solidcore, a fast-growing Pilates brand.
