NRG Gym Raises £4M From Puma Growth Partners to Accelerate UK Expansion

January 16, 2025

NRG Gyms, an award-winning high-value, low-price gym operator founded by Shafiq Ahmed in 2013, has secured a £4 million follow-on investment from Puma Growth Partners, the growth equity firm that made its first £5 million investment in the company back in 2018. The latest round will be used to expand NRG’s portfolio of gyms across the UK, deepen its use of data and analytics to improve the member experience, and build out a technology-led back-office infrastructure capable of supporting rapid scaling. Alongside the investment, NRG strengthened its board with the appointment of Neil Greenhalgh as Non-Executive Director. Greenhalgh spent nearly 20 years at JD Sports, including five years as Chief Financial Officer, and was instrumental in growing that business from a small-cap listed retailer to a FTSE 100-listed global operator. He also led JD Sports’ acquisition of the Xercise4Less gym chain in 2020, making him a directly relevant addition as NRG targets similar growth ambitions.

The UK gym and fitness market has proved remarkably resilient and continues to grow. The sector is expected to be worth approximately £2.8 billion in 2025, driven by sustained consumer demand for health and fitness, the continued recovery of gym membership to and beyond pre-pandemic levels, and a structural shift toward affordable, 24-hour facilities from higher-cost, less convenient legacy operators. In this environment, the high-value, low-price segment — characterised by quality equipment, inclusive environments, and subscription pricing that removes the barrier to entry for price-sensitive consumers — has outgrown the market, and NRG has been one of its standout performers.

NRG’s model is built around providing best-in-class fitness equipment, dedicated zones for different training styles (cardio, strength, stretch, and performance), a safe and inclusive environment including dedicated female zones, and excellent customer service — at a price point that competes directly with the major budget gym chains. The company has differentiated itself through a data-led approach to site selection, which has allowed it to enter and defend market share in locations where it consistently outperforms larger incumbents on like-for-like volume and revenue metrics.

At the time of the Puma investment, NRG operated seven sites in London, Manchester, Sheffield, Newcastle, and Walsall with more than 30,000 members. The company has since followed the funding with a significant strategic move, acquiring Pump Gyms to take its estate from seven to twelve sites and approximately double its membership base. Ahmed described the acquisition as delivering on the investment plans and bringing NRG’s vision of best-in-class inclusive gyms to more communities. Further growth through both new openings and acquisitions is being actively pursued.

Puma Growth Partners’ Henri Songeur cited NRG’s strong management team and proven business model as core to its position as a formidable operator in the UK fitness sector. The combination of Ahmed’s founder-led culture, Greenhalgh’s operational and financial scale-up expertise, and Puma’s continued backing positions NRG as one of the most credible challengers to the established budget gym brands as the company targets opening up to five new sites per year.

Sources