UPDATE: Self Esteem Brands and Orangetheory are seeking a CEO for their merged business
by Liz Terry | 12 Mar 2024
Runyon and Mortensen will join Dave Long on the board of the new company once a CEO has been appointed / Self Esteem Brands
This story was updated at 14.00GMT on 14 March 2024 and 16.00 GMT on 15 March 2024
Self Esteem Brands (SEB) and Orangetheory, which announced a ‘merger of equals’ on 29 February, have told HCM they've begun the search for a new CEO of the combined business – the name of which has yet to be revealed.
HCM understands that upon their appointment, the founders of SEB – Chuck Runyon and Dave Mortensen – will stand down from their executive positions and take up places on a seven-strong board of directors to work together to drive the growth of the new business.
A spokesperson for Orangetheory today (14 March 2024) told HCM the organisation structure of the new company is still being worked out and that Dave Long will serve in a dual role, continuing as CEO of Orangetheory, while also sitting on the board of the new company. It's not yet clear how Long will function in relation to the CEO of the new business.
This is a change from our original reporting on this story, which said that Long would also relinquish his executive role upon the appointment of the CEO of the newco. We now understand that this is not the case.
It has been confirmed that the seven-strong board of the new company will be composed of:
Chuck Runyon, co-founder and current CEO of Self Esteem Brands
Dave Mortensen, co-founder and current president of Self Esteem BrandsDave Long, co-founder and CEO of Orangetheory Fitness
David Hardy, Orangetheory Fitness partner and president, Franvest Capital PartnersKevin Hoffman, managing director, Roark Capital
Erik Morris, chief investment officer, Roark Capital
This is a change from our original reporting which said that the new CEO would sit on the board.
The various parts of the business will continue to function as normal while the merger takes place.
Speaking exclusively in the current edition of HCM, Long said Orangetheory can see demand for up to 10k locations globally for its concept, echoing the position of Dave Mortensen, who told HCM SEB had the same goal (10k locations) in an exclusive interview in 2023.
Although the merger is likely to have counted towards SEB’s target, it still seems the new company will have ambitious growth targets far in excess of 10k locations, with the potential of an IPO at some point in time, although there has been no mention of this yet from either business.
To read HCM’s interview with Dave Long, click here to sign up for a free digital subscription or visit HCMmag.com/archive.
Self Esteem Brands Orangetheory Dave Mortensen Chuck Runyon Roark Capital29 Feb 2024
Orangetheory and Self Esteem Brands are to merge to form a $3.5 billion business
28 Feb 2024
Self Esteem Brands reports results, does deal with Apple Fitness and reveals plans to crank up international expansion
19 Jan 2024
Chuck Runyon refutes rumours Anytime Fitness is for sale
07 Sep 2023
Orangetheory taps into strength training boom - launches Strength 50 class
30 Aug 2023
Self Esteem Brands (Anytime Fitness) is aiming to grow to 10,000 locations globally in the next five years, says co-founder, Dave Mortensen
17 Jul 2023
Xponential Fitness enters France with signing of master franchise deal for Club Pilates
14 Feb 2023
Dave Long tells HCM Orangetheory is targeting aggressive expansion
31 Aug 2022
Orangetheory launches MaxHR, an AI-driven heart rate tracking system
FEATURE: Interview – Dave Long
FEATURE: Interview – Dave Mortensen
This story was updated at 14.00GMT on 14 March 2024 and 16.00 GMT on 15 March 2024 Self Esteem Brands (SEB) and Orangetheory, which announced a ‘merger of equals’ on 29 February, have told HCM they've begun the search for a new CEO of the combined business – the name of which has yet to be revealed. HCM understands that upon their appointment, the founders of SEB – Chuck Runyon
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