The New Franchise Playbook: Why A Telecom Mogul Is Betting Big On Pilates

IRVINE, CA – June 22, 2026 – In the world of business, capital follows opportunity. And right now, a torrent of capital is flowing into a surprisingly specific corner of the American landscape: the Pilates studio. Club Pilates, the world's largest Pilates brand, has just announced a landmark agreement with entrepreneur Saber Ammori for the development of 70 new studios across multiple states. This isn't just another franchise deal; it's a powerful signal of a seismic shift in both the wellness industry and the very structure of modern franchising.

The agreement, orchestrated through a newly formed entity called Renew Fitness—a partnership between Ammori and private equity firm Cohere Capital—will expand Ammori’s existing portfolio of 14 studios to a staggering 84. This move makes Renew Fitness one of the largest multi-unit franchisees within the Club Pilates system, itself a core brand of boutique fitness curator Xponential Fitness. It’s a deal that speaks volumes about where sophisticated investors see durable growth, moving beyond digital trends to invest heavily in physical, community-based services.

Anatomy of a Multi-Million Dollar Bet

To understand the magnitude of this expansion, one must look at the underlying system. A single Club Pilates franchise requires an initial investment estimated between $385,000 and $839,000. For 70 new locations, this represents a capital outlay potentially ranging from $31 million to over $63 million, even before considering ongoing operational costs. This is not a casual investment; it's a calculated, large-scale deployment of capital based on a proven model.

The structure of the deal itself is indicative of a maturing industry. The partnership with Cohere Capital provides the financial horsepower, while Ammori brings the operational expertise. Franchisees in this system contribute an 8% royalty fee on gross sales back to the parent company, plus a 2% brand development fee. While this trims local profit margins, it fuels the national marketing and brand-building engine that makes rapid expansion possible. The average gross revenue for a Club Pilates studio hovers near $969,000 annually, creating a compelling economic engine that attracts seasoned operators who understand the long-term value of scale.

“This deal with Renew Fitness is a testament to the brand’s strength, economics, and staying power,” said Mike Nuzzo, CEO of Xponential Fitness, in a statement. His comments underscore the symbiotic relationship: the franchisor provides the brand and system, and experienced operators like Ammori execute and scale it on the ground.

The Multi-Unit Master at Work

The confidence behind this massive investment becomes clearer when looking at the track record of Saber Ammori. He is not a newcomer to the world of franchising; he is a master of the multi-unit model. As the Co-Founder and Co-CEO of Wireless Vision, he built one of the nation's largest T-Mobile retail partners, operating over 500 locations. His investment firm, Ammori Equity Partners, holds a diverse portfolio that includes Zax Auto Wash, a chain of 18 car washes, and Alline Salon Group, which operates nearly 350 salons under brands like Supercuts and Cost Cutters.

This background reveals a clear playbook: identify a resilient consumer service, partner with a strong national brand, and apply rigorous operational discipline to scale across hundreds of locations. Ammori’s decision to go all-in on Club Pilates applies this same logic to the wellness sector. His existing 14 studios in the competitive New York City market have served as a successful proof of concept, giving him the data and confidence to expand dramatically into Michigan, Maryland, and other parts of New York.

“The goal has always been to keep growing with Club Pilates — my team and I are extremely passionate about this empowering, inclusive brand,” Ammori stated. His key insight, however, lies in his assessment of the market itself. “There is still so much whitespace for Pilates in the U.S., and the formation of Renew Fitness will help us unlock that next phase of growth.” For an entrepreneur who has built empires in telecommunications and automotive services, this statement signals a powerful belief in the untapped potential of the fitness market.

Riding the Pilates Wave

Ammori's bet is not being made in a vacuum. It is buoyed by a powerful wave of consumer demand. The U.S. Pilates and yoga studio market was valued at an astonishing $45.5 billion in 2025, and Pilates is at the forefront of this boom. For three consecutive years, it has been the most booked fitness category on platforms like ClassPass, demonstrating a sticky, recurring demand.

The number of Americans participating in Pilates has surged by nearly 40% since 2019, now totaling almost 13 million people. This growth is fueled by a fundamental shift in how consumers approach health. Increasingly, people are seeking low-impact, sustainable forms of exercise that offer both physical strength and mental benefits. Pilates, with its focus on core strength, flexibility, and mind-body connection, perfectly fits this need.

Furthermore, the modality's appeal cuts across a wide demographic. While 43% of customers are Gen Z, over a third of participants are over the age of 50, drawn to its effectiveness and low risk of injury. This broad-based appeal de-risks the investment, ensuring a steady flow of clients beyond a single, fickle generation and providing a stable foundation for growth in suburban and urban markets alike.

Xponential's Blueprint for Dominance

For the parent company, Xponential Fitness, this deal is the perfect execution of a carefully honed strategy. In recent years, Xponential has been deliberately streamlining its portfolio, divesting brands like Row House, CycleBar, and Rumble to concentrate capital and attention on its highest-performing “crown jewel” assets. Club Pilates is, without question, the centerpiece of this strategy.

The company’s playbook relies on partnering with large, well-capitalized, and experienced multi-unit developers. The Ammori deal is not an anomaly; it follows a similar, even larger agreement signed in April 2026 with Riser Fitness for 127 new Club Pilates studios. By entrusting large territories to proven operators, Xponential can achieve rapid, stable, and predictable expansion without the operational burden of managing individual locations.

This strategy is being overseen by a refreshed leadership team, with Mike Nuzzo taking the helm as CEO in August 2025. The company also recently saw the conclusion of an 18-month SEC investigation without any action taken, a development that has helped stabilize investor confidence. The focus is now clearly on disciplined growth, and mega-deals with operators like Saber Ammori are the primary vehicle for achieving it, transforming the boutique fitness landscape one multi-studio agreement at a time.