iFIT, the health and fitness technology company that powers brands like NordicTrack, has filed paperwork to go public. The firm is the number one provider of large fitness equipment in the U.S. and also provides live and recorded fitness content for subscribers.
iFIT was previously known by the name ICON Health & Fitness, but in June rebranded and changed its name to that of the equipment’s operating system, iFIT. On Aug. 31, the company filed with the SEC to become a publicly traded company.
iFIT executives and financials
The CEO of iFIT, Scott Watterson, said in June that the name change to iFIT reflected “our focus on providing state-of-the-art fitness technology solutions to as many people as possible.” Watterson has been both the chairman and CEO since 1988.
Steven Barr took on the role of chief financial officer in 2020 after 28 years at PwC advising top global brands including Nike.
iFIT booked a total of $1.7 billion in sales for the 12 months ended May 31, 2021, according to Renaissance Capital. In fiscal 2021, the company sold about 10.1 million of its interactive fitness products to reach a gross merchandise value of $2.8 billion.
As a company, iFIT's mission is to “improve people’s lives through the power of interactive health and fitness.” Customers can purchase treadmills, elliptical machines, bikes, rowers, strength equipment, yoga equipment, and more. The company also provides live and on-demand fitness classes.
In July, the company announced its plan to buy Sweat, an online fitness training platform, for about $300 million. The Wall Street Journal reported that iFIT was adding to its content offerings strategically in advance of its IPO.
Prior iFIT funding and investors
iFIT, whose brands include NordicTrack, ProForm, and Freemotion, has over 6.1 million total members and 1.5 million fitness subscribers in over 120 countries.
In October 2020, the company raised funds from L. Catterton and Pamplona Capital Management that resulted in a $7 billion valuation.
iFIT IPO details
The company filed confidentially on March 26, 2021, and intends to list on the Nasdaq under the ticker symbol "IFIT." The joint book runners on the IPO deal are Morgan Stanley, BofA Securities, Barclays, Citi, Credit Suisse, Jefferies, and Baird.
The company hasn't released a price range yet for its shares or the number of shares it plans to offer in the IPO. However, the current figure given for the IPO to raise is $100 million.
The Wall Street Journal reported that the company’s IPO could very well result in a valuation above the 2020 figure of $7 billion.
iFIT is a pioneer in subscription-based fitness equipment and content, so it offers both live and on-demand exercise content. Like other connected fitness companies, it did well during the COVID-19 pandemic as fitness enthusiasts sought to get fit at home.
The company will compete with Peloton, which makes luxury fitness bikes. Peloton also makes money off its monthly subscription fees that give customers access to unlimited fitness classes and instructors.
Bloomberg noted that ProForm makes iFIT-compatible bikes for $799, which is a much lower price point than that of Peloton. iFIT will be accessible to a wider customer base.