Peloton to acquire Precor

Leading interactive fitness platform Peleton has entered into an agreement to acquire commercial fitness equipment provider Precor in a transaction valued at $420m (£314m, €344m).

The acquisition of Precor will enable Peloton to establish US manufacturing capacity as well as boost research and development capabilities and accelerate Peloton’s penetration of the commercial market.

As one of the largest commercial fitness equipment suppliers in the world, Precor serves more than 100 countries.

Peloton also plans to produce connected fitness products in the US before the end of 2021.

Subject to the completion of the transaction, Precor will operate as a business unit within Peloton. As part of the deal, Precor president Rob Barker will become CEO of Precor and general manager of Peloton Commercial, reporting to William Lynch, Peloton’s president.

Commenting on the deal, Rob Barker said: “The Precor team is excited to combine our manufacturing expertise and more than 40 years of equipment innovations with Peloton’s award-winning workout experiences to help commercial customers succeed and keep exercisers moving.”

Precor is a division of Finnish sporting goods company Amer Sports, which is owned by an investor consortium that includes ANTA Sports, FountainVest Partners, Anamered Investments Inc and Tencent Holdings Ltd.

The transaction is expected to close early in 2021.