The incumbent on the media account, estimated to be worth £3 million, is Manning Gottlieb OMD.
MG OMD is repitching for the business and there is no intermediary involved in the process.
It is understood that Virgin Active is looking to appoint an agency before the end of the month.
Virgin Active appointed VML to redesign its website and members app earlier this year, following a competitive pitch process. The account is worth £2 million.
Karmarama won the creative business in October 2013. It released an ad at the beginning of last year showing a man in his underwear riding a motorcycle through the desert, with random shots of people taking part in sports.
It has since ceased working on the business.
Virgin Active did not respond to Campaign’s requests for comment.