Peloton to acquire fitness equipment maker Precor for $420 million

Problem was, Peloton was fairly ill-equipped to handle all that brand-new need, even after doubling its production capacity and spinning up a new factory in Taiwan. Thats where Precor can be found in: In addition to running as a service unit inside Peloton, its 625,000 feet of producing area split in between Whitsett, North Carolina, and Woodinville, Washington will eventually be utilized to produce brand-new Peloton Treads and Bikes.
The truth that future Peloton gear will be produced at least in part in the United States ought to ultimately indicate an end to the delays that have plagued many recent orders. And beyond that, Precors existing relationships with schools, hotels and fitness center chains could provide Peloton a practical path into brand-new facilities as soon as COVID-related restrictions are lifted.
“By integrating our committed and gifted R&D and Supply Chain groups with the extremely capable Precor group and their decades of experience, we think we will be able to lead the international linked fitness market in both development and scale,” said Peloton president William Lynch.
The company states the very first US-made Peloton hardware will roll off the lines “before the end of fiscal year 2021,” which must put the combined business in a solid position to increase its organization even further. The bigger question is whether individualss passion for Peloton hardware sticks after the pandemic totally and lastly passes– in the meantime, however, the company is dedicated to going huge.

Leave a Reply

Your email address will not be published. Required fields are marked *