The Bannatyne Group has embarked on a £50million investment drive creating “hundreds of jobs” after successfully pumping up profits.
The firm, owned by Dragon’s Den star Duncan Bannatyne, said its three-year overhaul will see it buy more businesses and upgrade existing health clubs with new spa facilities.
As part of the plan, the company will add 10,000 new items of equipment and refurbish 850,000 square feet of property across its 69 health clubs and spas.
Bannatyne, which employs 3,000 people and has 200,000 members, said the move follows “strong” trading this year, building on the £11.6million of profit recorded at the end of 2016.
As part of the investment the Bannatyne Group opened its 42nd spa after spending £600,000 at its Aberdeen health club, which has created eight new jobs.
The group had planned to raise £300million by floating on the London Stock Exchange, but pulled the plug on an initial public offering (IPO) last year.
Chief executive Justin Musgrove said: “Trading this year has, so far, been strong, enabling us to build on the £11.6million profit we achieved at the end of 2016.
“The strong performance gives us scope to make our investments, which we also expect to create hundreds of new jobs and grow our membership our membership significantly.”