Topnotch sells four health clubs

Topnotch Health Clubs has announced the sale of four of its sites to Vision Fitness in a deal worth £3.5m.

The sale of the clubs - at Brentford, New Malden, Maidstone and Colchester - is subject to landlords' approval. Operating profit attributable to them before deduction of certain central costs was about £539,000 for the year ended 30 April 2002.Topnotch has also agreed to sell Espree Leisure to Vision Fitness for £1. In addition, Vision assumes outstanding liabilities of approximately £350,000.

Espree owns the Blackfriars Topnotch club and the recently closed site at Royal Mint Court, both in London. For the year ended 30 April 2002 the combined operating loss before central costs for the two clubs was £10,000. Their net book value is about £315,000.Topnotch chief executive, Matthew Harris, said: Trading conditions remain difficult in the sector and the group continues to trade at a loss.

He added that the group is close to completing new finance arrangements with its banks and the proceeds of the sale will help to reduce debt.Once the disposal of the four clubs is finalised, Topnotch will be left with an estate of 13 clubs. Details: www.topnotchhealthclubs.com