Press Office
Esporta Unveils Plans For Aggressive Racquets Roll Out
Date: 19 July, 2004
Following a review of Esporta's investment plans, the recent rapid growth of the company's racquets businesses has prompted Duke Street Capital to commit further capital to an aggressive roll out programme of racquets sites.
An initial £100m fund has been earmarked for this investment programme, which will target the 64% of the UK population that does not currently live within driving distance of indoor tennis facilities. This could result in Esporta adding up to a further ten racquets clubs to its existing portfolio of 61 clubs nationwide (20 of which have racquets facilities).
New Esporta clubs are due to open in Guildford in September this year and new racquets clubs are planned for 2005 in Bath and Swindon. A bid has also been made for a site in Worcester.
Esporta is currently working with a number of organisations to identify prime locations. These include RFU (Rugby Football Union) clubs with sufficient land, particularly those that have been promoted and are looking to generate revenue to invest in facility improvement and extra stand space.
The company also has a number of leads in the southern Home Counties and has been working with a number of property agents. Esporta has approached schools and colleges to establish partnership arrangements and is in talks with independent schools in Bath and Kent. It currently has partnership arrangements with St Edwards School in Oxford and the University of Brighton.
Work is also underway with several local authorities in reviewing the provision of facilities. In areas where there is a lack of health and fitness amenities, Esporta is in talks with councils to identify investment opportunities which bring the public and private sectors together to develop strategic land holdings which will generate both local benefits and commercial uses.
Esporta is currently working with Havant Borough Council to develop the UK's first regional sports hub. It will service Football Association youth training facilities, community sports uses including rugby and hockey as well as a purpose built health and racquets facility.
Esporta's aim in the development of this regional sports village is that it will fulfil the Government's agenda on the provision of sports facilities for the nation.
The 70 acre site will include up to four youth training football pitches and a similar number of rugby pitches. It will be financed through a combination of public and private sector funding which will be secured through specialist consultants. Planning applications are expected to be made in spring '05.
Commenting on the investment programme, CEO Neil Gillis said: "We see the future for private health and fitness very much in the development of racquets facilities and sites that will enable us to realise our investment plans are of great interest to us.
"Our racquets clubs are currently outperforming the rest of the industry as we saw a 23% increase in these clubs in the first quarter this year. We currently have the highest number of courts per club [8] versus an industry average of 5.5 and we see enormous potential to open more Esporta racquets clubs in areas which are not currently well served by these facilities."
Ends
For further information please contact:
Catherine Humphries / Joanna Randall, Corixa Communications,
Tel: 0117 949 3394
Email: catherine.humphries@corixa.co.uk
Date of issue: 19 July 2004