Arcapita invests in Saudi women’s fitness chain

Arcapita, a global leader in Shari’ah-compliant alternative investments, said it has invested in NuYu, a leading chain of women-only boutique gyms in Saudi Arabia. A statement released said, Arcapita’s capital will help NuYu deploy over SAR 250 million ($67m) to grow its network of boutique gyms from seven to over 30 across the Kingdom. The new centers are expected to create hundreds of jobs, as well as provide women access to fitness outlets in currently underserved locations.

The investment will enable the company – with five boutique gyms in Riyadh and one each in both Khobar and Dammam – to capitalise on the significant market opportunity arising from a landmark decision by the General Sports Authority to grant licenses for female boutique gyms. From a base of over 50 facilities nationwide, the female fitness market in Saudi Arabia is expected to grow at an annual rate of 30 per cent over the medium-term.

Atif A. Abdulmalik, Arcapita’s Chief Executive Officer, said: “We look forward to working in partnership with NuYu, helping it realize its full potential during this exciting period of social change.” Princess Sara Al Saud, NuYu’s Co-founder and Creative Director, said: “With support from Arcapita, we are excited to be able to accelerate our expansion plans and grow our 6,000-strong membership base.

Launching new boutique gyms across the country will make it easier for Saudi women to access fitness and reap the benefits of regular exercise.” Martin Tan, Arcapita’s Chief Investment Officer, added: “The female fitness segment in Saudi Arabia is virtually untapped with a penetration rate of less than 1%, while having one of the highest revenues per member globally.”