True Fitness, True Yoga close all outlets; liquidators start winding-up process

[SINGAPORE] True Group parent company Kontafarma China Holdings has announced that it will begin provisional liquidation of its subsidiaries True Fitness and True Yoga, citing fierce competition and rising customer acquisition costs.

True Fitness and True Yoga – the Singapore companies behind the gym True Fitness, TFX and Yoga Edition brands – have begun a winding-up process. The three brands operate 10 outlets in Singapore.

In an e-mail to True employees on Thursday (Sep 10) night and seen by The Business Times, the company’s human resources department said that provisional liquidators have already been appointed.

True Fitness and True Yoga subsequently met approximately 100 staff on Friday afternoon, according to BT estimates.

In its annual report, Kontafarma reported 257 employees in its Singapore fitness business at end-2025, a slight dip from the 281 employees in 2024. It did not disclose the current or outlet-level headcount.

All the outlets have also ceased operations with immediate effect, the email said. Notices have been placed outside the branches to inform members of this sudden development.

According to True Fitness’ website, there are three clubs in Singapore – at Djitsun Mall in Ang Mo Kio, Velocity@Novena Square, and Income@Tampines Junction. The branch on the third storey of Great World City, however, is not listed on the website.

Hong Kong-listed Kontafarma said in a bourse filing that the Singapore operations have been loss-making in this financial year.

For the eight months ended Aug 31, 2026, the group recorded a loss of HK$19.1 million (US$2.4 million), with a total liability of HK$429.3 million.

This builds on an already challenging financial situation the group faced the previous financial year, where the group recorded a loss of about HK$34.3 million for the financial year ended Dec 31, 2025.

As of Dec 31, the True Singapore group had total assets of HK$149.7 million and net liabilities of HK$405.8 million.

In an earlier profit warning issued on Aug 17, Kontafarma noted that it has provided cash funding and financial support to True Singapore in hopes of easing its “significant liquidity pressure”.

The parent company noted: “In spite of the cash funding provided by the company hoping to support the Singapore fitness business, the group’s fitness business in Singapore continued to underperform and face significant liquidity pressure.”

Increasing competition and rising prices were cited as some of the key reasons why it is liquidating its Singapore businesses.

The group also identified business pressures such as alternative fitness platforms, such as boutique gyms, condominium and residential gyms, as well as online training and virtual fitness training.

“All these factors present obstacles to attract customers, high operating costs and stringent cashflow,” the group explained. “The challenges faced by the True Singapore group are unprecedented.”

The directors of True Fitness and True Yoga have appointed Goh Wee Teck and Lin Yueh Hung from RSM SG Corporate Advisory as the provisional liquidators of True Fitness and True Yoga.

The parent company will convene extraordinary general meetings of True Fitness and True Yoga on Oct 7, at which creditors’ voluntary winding-up will be proposed.

BT has reached out to True Singapore group for further comments.

Customers in the dark

When BT visited the True Fitness’ Velocity outlet in Novena on Thursday afternoon, the gym’s entrance was blocked with white barricades with two notices pasted on it.

A notice issued by Novena Square Development – the gym’s landlord – had re-entered and repossessed the gym unit on Wednesday night at 10.30 pm. The notice, however, did not state the reason for the repossession.

A separate notice, issued by True Group, stated that the gym was “not open today” and that members could use other True Fitness clubs that remained open.

Several visitors in sports attire were seen arriving at the Velocity outlet and appeared to be caught unaware of the closure.

A 15-year-old student, who gave his name as Shaan, was with his mother and they both learned that the branch was shut only after they got there.

He said that he last visited the gym on Tuesday and that there were no signs of the gym shutting down. He added that his mother had just paid the monthly membership fees that very day.

In a message seen by BT on Friday, one staff member mentioned that he was only informed about the closure the previous night, noting that he was unaware that the gym was closing. “The news came very suddenly for us as well,” noted the staff.