IFIT to Buy Fitness Platform Sweat for $300 Million Ahead of IPO | Sidnaz Blog

[ad_1]

IFIT, which owns NordicTrack, was recently valued in excess of $7 billion in its most recent round of funding in late 2020.



Photo:

iFit

IFIT Health & Fitness Inc. will acquire Sweat, an online fitness training platform, ahead of an initial public offering that is expected in the fall, according to people familiar with the matter.

IFIT is buying Sweat, which was co-founded by trainer

Kayla Itsines

and CEO

Tobi Pearce

in 2015, for around $300 million, some of the people said. IFIT plans to keep Sweat, which is based in Australia, as a stand-alone brand and Ms. Itsines and Mr. Pearce as executives.

The Sweat app



Photo:

Sweat

IFIT is beefing up its content offerings ahead of its anticipated IPO. The company, which owns NordicTrack, was recently valued in excess of $7 billion in its most recent round of funding in late 2020 and is expected to attain a valuation in excess of that in its IPO.

Should the company debut as planned later this year, it is expected to tap a market hungry for fast-growing companies in the busiest year for public offerings on record. IFIT’s closest competitor,

Peloton Interactive Inc.,

made its debut in late 2019, and while its stock price has tumbled this year after a recall of its treadmills, investors had raced into the stock. Even with the pullback, Peloton shares have more than quadrupled from their IPO price.

IFIT, formerly known as Icon Health & Fitness Inc., has been moving swiftly with its IPO plans and confidentially filed papers recently with the Securities and Exchange Commission, according to people familiar with the offering.

Write to Maureen Farrell at [email protected]

Copyright ©2020 Dow Jones & Company, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8

[ad_2]

Source link

Tagged : / / / / / / / / / / / / / / / / / / / / / / / / / / / / / / / / / / / / /

Peloton Analyst Trades Endorphins for Anxiety | Sidnaz Blog

[ad_1]

Shares of Peloton Interactive are down 28% so far this year versus a 12% gain for the S&P 500.



Photo:

Michael Loccisano/Getty Images

They say all things come to those who wait, but

Peloton Interactive’s


PTON 3.56%

investors aren’t a patient bunch.

Shares of Peloton are down 28% so far this year versus a 12% gain for the S&P. But if you think you have finally found an attractive entry point, you might want to douse yourself in some cold Gatorade.

After a wild 434% run-up in its shares last year, Peloton’s Chief Executive

John Foley

continued to stoke the fire, telling investors in September at the company’s analyst day he believed 100 million subscribers was a reasonable goal for the company, capturing half the number of gym goers world-wide.

The time horizon on that goal is a bit fuzzy. In a note this week, BMO Capital Markets analyst

Simeon Siegel

points out that, in a presentation for the same investor day, Peloton pegged its own serviceable addressable market, or estimated number of households interested in purchasing current Peloton products at current prices, at just 15 million, something he feels Peloton’s most fervent fans have perhaps overlooked.

By Mr. Siegel’s math, Peloton’s current fully diluted market value implies investors already are giving the company credit today for capturing 16.5 million subscribers, or 110% of that addressable market size. Wall Street is forecasting Peloton will have roughly 2.3 million connected fitness subscribers as of June. But even at 5 million subscribers, to justify Peloton’s current market value investors are effectively betting those customers will be paying to sweat and bleed Peloton for the next 24 years, his estimates show.

Peloton fiends better pace themselves.

SHARE YOUR THOUGHTS

Did the pandemic change your view on owning a Peloton? Join the conversation below.

Write to Laura Forman at [email protected]

Copyright ©2020 Dow Jones & Company, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8

[ad_2]

Source link

Tagged : / / / / / / / / / / / / / / / / / / / / / /