2023-12-8
Fitness Equipment Industry Weekly News – W50
1． US Ladder Secures $12M in Series A Funding to Propel Growth of its Innovative Strength Training App
In a recent development, Ladder, headquartered in Austin, Texas, has successfully raised $12 million in Series A funding. The funding round, spearheaded by Tapestry VC and LivWell Ventures, is a significant milestone for the fitness app provider.
Ladder, under the leadership of CEO Greg Stewart, specializes in a cutting-edge training app designed for strength training enthusiasts. The funds acquired in this round are earmarked for the company's strategic expansion, aiming to broaden its operations and increase its business reach.
The Ladder training app distinguishes itself by offering users personalized daily plans, ensuring a dynamic and expertly curated strength training routine. With workouts refreshed weekly and crafted by specialized strength coaches, the app covers a spectrum of training styles, including pilates, HIIT, bodybuilding, and kettlebell training. Prospective users can engage with the app through a free quiz designed to match them with the most suitable training plan.
This funding injection follows a period of substantial growth for Ladder throughout the year. Projections indicate an impressive 500% growth in membership, boasting over 50,000 paying members. Notably, the app maintains an outstanding 4.9 rating on the App Store, reflecting its popularity and positive reception across more than 15,000 reviews.
2. US BowFlex Receives non-conformity notice from NYSE
On November 27, 2023, BowFlex Inc. (NYSE: BFX) received written notification from the New York Stock Exchange (NYSE) indicating that the company does not meet the NYSE continued listing standards. These standards mandate the maintenance of an average global market capitalization exceeding $50.0 million over a consecutive 30-day trading period and simultaneous possession of total stockholders' equity equal to or greater than $50.0 million.
The company is set to inform the NYSE by December 11, 2023, acknowledging the receipt of the notice and expressing its intention to submit a corrective plan addressing the global market capitalization listing standard shortfall.
The NYSE grants a 45-day window from the date of the notice for the submission of a plan detailing definitive actions taken or underway by the company. This plan should outline steps to achieve compliance with the market capitalization listing standard within 18 months of receiving the notice.
It's essential to note that the notice does not impact the company's day-to-day operations or its reporting obligations to the Securities and Exchange Commission.
3. French Kinomap App Becomes Official Licensee of the International Olympic Committee (IOC)
Between January and the end of the Olympic Games Paris 2024, runners, cyclists and rowers will be able to train remotely and sign-up to Paris 2024 connected sports challenges for free through the Kinomap app. Users from all around the world will discover the courses used by the athletes attending the Olympic Games next summer.
All Olympic fans and sport enthusiasts will be able to take part in these sports challenges from any fitness equipment, including exercise bikes, home trainers, treadmills, rowing machines and elliptical trainers, automatically adjusting the resistance or incline for an unrivalled training experience as close to reality as possible.
Connected challenges are an opportunity for cyclists, runners and rowers, to take part in an unprecedented experience around the Olympic Games Paris 2024, by exploring geolocated routes inspired by the global event.
In that context, Kinomap has reached an agreement to become an Official Licensee of the International Olympic Committee (IOC), organising Paris 2024 connected sports challenges globally (China excluded). Download the Kinomap app or follow the Kinomap’s social media accounts on Instagram, Facebook, Twitter and LinkedIn for forthcoming challenge details.
Philippe Moity, CEO of Kinomap, expressed excitement at the unique collaboration: " We are delighted to bring connected challenges in relation to the world's biggest sporting event and to share this common ambition: to make sport accessible to everyone and to promote physical activity, health and well-being on a global scale!
4. Garmin unveils the Tacx NEO 3M: A powerful indoor smart trainer with multidirectional movement
Garmin (NYSE: GRMN) has unveiled the Tacx® NEO 3M, marking a significant advancement in indoor cycling technology. This direct-drive smart trainer, renowned for its precision and power, incorporates multidirectional movement to enhance the cycling experience. The introduction of integrated motion plates ensures cyclists enjoy a more comfortable and lifelike ride.
Key Features of the Tacx NEO 3M:
- Innovative Motion Plates: Enhance comfort and realism during indoor rides.
- Electromagnetic Motor Braking System: Offers a virtual flywheel for a diverse riding experience, simulating various road conditions, including downhill terrain.
- Seamless Integration: Connects effortlessly with the Tacx Training™ app, enabling synchronized training plan workouts from Garmin Connect™ calendar, virtual GroupRides, and immersive rides featuring picturesque global routes.
Tacx Training App Highlights:
- Training Plan Workouts: Complete workouts from Garmin Connect app.
- High-Quality Training Videos: Access diverse training videos from worldwide locations.
- WorldTour Pro Team Rides: Participate in training rides alongside professional cycling teams.
- Global GroupRide: Connect, train, and ride with friends globally.
- Challenges and Badges: Complete challenges to earn badges in Garmin Connect2.
Cyclists purchasing the NEO 3M can enjoy a complimentary three-month premium subscription to the Tacx Training app. The Tacx NEO 3M comes ready-to-ride with a preinstalled 11-speed cassette, seamless onboarding via the Tacx Training app, and no calibration requirements. For those seeking an enhanced connection for virtual races, a new adapter (available separately) ensures a robust link through Ethernet or Wi-Fi® technology.
The Tacx NEO 3M is now available, with a suggested retail price of $1,999.99, promising an immersive and dynamic indoor cycling experience.
5. Xponential Fitness Set to Acquire Lindora Clinics, Expanding Its Wellness Franchise Portfolio
Xponential Fitness, Inc., a leading franchisor of health and wellness brands, has announced its agreement to acquire Lindora, a prominent metabolic health brand. In this strategic move, the 31 existing Lindora clinics will transition to Xponential franchise locations. The acquisition encompasses all intellectual property of Lindora, and Xponential plans to franchise the brand both nationally and globally. With the robust cash flow from existing Lindora locations, the acquisition is expected to have an immediate positive impact on both Average Unit Volume (AUV) and Adjusted EBITDA.
Anthony Geisler, CEO of Xponential, expressed, “This acquisition reinforces Xponential’s leadership in adopting the latest innovations in health and wellness. Lindora's integrated approach to metabolic health, combining behavioral strategies with cutting-edge medical breakthroughs, aligns seamlessly with our vision. Lindora complements our existing brands and addresses the growing demand for a holistic health approach. We are eager to collaborate with Lindora's experienced team to tackle prevalent health challenges in the U.S. and beyond.”
Established in 1971 in Southern California, Lindora has been a pioneer in providing medically guided wellness and metabolic health solutions for over 50 years. With a comprehensive suite of services supporting metabolic health, including weight management programs, IV hydration, hormone replacement therapy, and more, Lindora has positively impacted tens of thousands of lives. The global weight loss and weight management industry, valued at over $224 billion in 2021, is projected to exceed $400 billion by 2030.
Colleen Lewis, CEO of Lindora, expressed enthusiasm about joining the Xponential family of brands. She stated, “Xponential’s proven model for growing and scaling brands makes them the ideal partner for Lindora's next phase of growth. This partnership positions Lindora as one of the first national brands in medical metabolic management, and we are excited to share our effective client outcomes on a global scale.”
The transaction is anticipated to be finalized in early 2024.
6. Saudi Investment Fund Acquires $120 Million Stake in Technogym
Global fitness equipment manufacturer Technogym has secured a €111 million ($120 million) investment from the NEOM Investment Fund (NIF), a Saudi-based firm specializing in technology-focused brands. Following the transaction, NIF now possesses a 6% stake in Italy-based Technogym's share capital and holds 4.5% of its voting rights.
As part of the deal, NIF acquired around 8.8 million shares of Technogym and entered into a derivative solution to procure approximately 3.3 million additional shares.
In a statement marking the completion of the transaction, NIF emphasized that the investment aligns with its vision for a novel model of sustainable and healthy living. The fund is dedicated to serving as a long-term minority investor in Technogym.
NIF expressed confidence in Technogym's value creation potential, acknowledging the company's track record of sustained growth, its prominent position in the global market, and its commitment to innovation in the fitness and health sectors.
Author: Roger Yao (cs07@fitqs.com)
The founder of FITQS/FQC
The columnist of magzine <China Fitness Equipment>
20 years in fitness/sporting equipment OEM/ODM technical, quality control and sourcing management.
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