With acquisition, Peloton will establish U.S. manufacturing footprint, anticipates enhancing R&D capabilities, and accelerating the growth of commercial verticals
NEW YORK, April 1, 2021 /PRNewswire/ — Peloton (NASDAQ: PTON), the leading interactive fitness platform, today announced that it has officially closed the acquisition of Precor, one of the largest global commercial fitness equipment providers with a significant U.S. manufacturing presence. With this acquisition, Peloton establishes its U.S. manufacturing capacity, anticipates boosting research and development capabilities with Precor’s highly-skilled team and accelerating Peloton’s penetration of the commercial market. Peloton plans to produce connected fitness products in the United States before the end of the calendar year 2021.
“This is a major milestone for Peloton and our global community,” said William Lynch, Peloton’s President. “We’ve spent the last few months learning more about Precor’s relentless focus on the customer experience and we’re now even more enthusiastic about welcoming this talented team to Peloton. Now with Peloton and Precor, we believe we’re even better positioned to achieve our goal of bringing the best experience in connected health and fitness to more people around the world.”
Precor President Rob Barker will continue to lead Precor and become CEO, Precor and General Manager, Peloton Commercial, reporting to Lynch.
“The next few months are going to be some of the most exciting as Precor and Peloton work together to build for the future and empower more people to live the lives they desire,” said Barker. “With Peloton Commercial, we expect we’ll be able to not only continue our relationship with our current customers, but scale the Peloton experience that millions of people have at home to even more hotels, campuses, and multifamily residences.”
Peloton acquired Precor for $420 million in cash, subject to customary adjustments for working capital, transaction expenses, cash and indebtedness. The acquisition of Precor was announced on December 21, 2020.