Fitness center brand Fitness First has begun its liquidation process after exhausting all means to maintain its business operations. Fitness First officially announced its closure on March 16. In a statement, the company said: “We regret to announce that Evolution Wellness Hong Kong, which operates the Fitness First network of fitness centers in Hong Kong, will cease all operations effective March 16 and begin a liquidation process. the challenges of not being able to operate our fitness centers push us down this path. »
The company added that over the past few months, its management team, alongside its parent company and shareholders, have explored and exhausted all avenues in pursuit of maintaining business operations. “Unfortunately we didn’t make it,” he said. The company’s website only contains the announcement of its liquidation and its farewell letter. The company has appointed two liquidators to oversee the affairs of the company pending the calling of a meeting of creditors scheduled for March 28, 2022.
“We are heartbroken that our journey together has come to a devastating end, and we sincerely apologize for the impact and inconvenience this news may have on all of our stakeholders,” the company added.
Some netizens took to Fitness First’s Facebook page to say goodbye. One said: “Thank you Fitness First. I have been a member for 10 years and have enjoyed your service and products which keep me fitter and healthier than I would have been without you.”
Fitness First is the city’s second gym chain to close in less than a year after Goji Studios. In an internal letter sent to all employees on Monday, Fitness First said it would close permanently and all employment contracts had been terminated, multiple media outlets in Hong Kong reported.
In December, Goji Studios also shut down, citing the pandemic in Hong Kong and social distancing measures as the main reasons for the closure. Goji Studios was unable to raise funds to continue operating as well.
The fitness industry set up a nonprofit last year amid outbreaks in Hong Kong gyms to reassure the public that fitness and wellness facilities are safe to use . Initiated by members of the Hong Kong Alliance of Professional Fitness and Wellness Operators in collaboration with International Personal Trainers and Fitness Academy and the Hong Kong Alliance for Fitness and Wellness, SafeFit100 is an independent, not-for-profit organization governed by an independent Steering Committee. It was created to protect and serve the industry and the wider community amid the COVID-19 pandemic through the highest standards of professional and independent review and assessment to ensure safety.
However, gyms in Hong Kong are not allowed to operate due to government measures announced in January 2022 after the start of the fifth wave of the pandemic, closing bars and gyms.
Other Hong Kong companies have also decided to liquidate their operations in the city. In an announcement on the Hong Kong Stock Exchange, Genting Hong Kong said it had filed a petition with the Bermuda court for the appointment of joint provisional liquidators (JPLs) of the company. JPL’s request had triggered new insolvencies or events of default or termination for all outstanding debt securities of Dream Cruises and its subsidiaries. It also laid off at least 60 employees in Singapore, many of whom are Singaporeans and permanent residents.
(Photo courtesy: 123rf)
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