Interactive Strength Inc. (TRNR), the specialty fitness equipment manufacturer and owner of the Clmbr and Forme brands, has signed a binding transaction agreement to acquire Wattbike, an indoor performance training bike business, which has cumulatively sold more than 100,000 bikes. The binding agreement is said to be a significant milestone for both growth businesses, forming an omni-channel, fitness equipment portfolio with key operations in the U.S., Germany and the UK.

The deal, which marks TRNR’s is second transaction this year (Sportstech) and third since its IPO, is expected to close as early as the second quarter and is expected to be immediately accretive to TRNR’s results.

“We are very energized to welcome Wattbike, its dedicated team and its many customers to the TRNR portfolio,” said TRNR Founder and CEO Trent Ward. “The brand, products and training content are incredible assets. Their indoor cycling training platform is arguably the best in the world of its kind for performance training, testing/benchmarking, rehab, injury prevention and low-impact conditioning. Leading gyms, healthcare facilities, universities, and even special forces military operations recognize this – along with many teams in the NFL, NBA, MLB, NHL and Premier League.”

Ward said that Wattbike CEO Stephen Loftus and the team have set Wattbike up for global success – especially when paired with TRNR’s marketing, distribution and sales footprint and TRNR’s Nasdaq public listing.

“Joining forces with Interactive Strength is an exciting step for Wattbike,” offered Loftus. “This deal gives our latest product launches and renewed growth a larger, scaled platform for marketing and distribution that will dramatically and cost-effectively accelerate our expansion across key international markets, while staying true to our commitment to deliver world-class training solutions for athletes and fitness enthusiasts alike. It’s also exciting to become a key part, and driver, of a high-momentum business like TRNR, that’s natively aligned with our own growth and expansion goals, the importance of quality offerings, and focused specifically on the fitness, health and wellness markets.”

UK-based Wattbike, founded in 2008 to support Team GB, the UK’s Olympic team, generates $15+ million revenue annually. This transaction is expected to be another boost to help TRNR generate more than $65 million in 2025 revenue on a Pro Forma basis.

The company expects to build revenues via acquisition and build scale to achieve profitability through technology and services integration.

“What Stephen and the team have been able to accomplish since the challenges of the pandemic is fantastic,” said Dan Stern, Partner, Piper PE, LLP, Wattbike’s London-based majority shareholder. “They deepened the original reputation of and trust in their equipment, training and brand among elite athletes. But they also recognized and acted on the opportunity to broaden Wattbike’s portfolio and appeal by building out a much more diverse portfolio of equal-quality equipment and training programs for the larger, mainstream health and wellness market. The business is now well-positioned to accelerate and capture share across the top three fitness markets globally under Interactive Strength’s ownership, as well as to push further into Asia where it has also been a big success to date. We wish Stephen and the team every success in this next phase.”

Ward concluded, “We’ve noted before that the global health and wellness market is growing, but also fragmented. This reality means that a truly differentiated portfolio of fitness equipment, content and solutions – like the one we believe we are building across Wattbike, Sportstech, Forme and Clmbr – has a real edge. TRNR will be able to provide a wider variety of customers a wider variety of options for healthy exercise across many channels, in almost any major market anywhere in the world. After adding Wattbike and Sportstech, we believe TRNR will present the market with an offering that no other single fitness-focused business can match.”

The integration of Interactive Strength and Wattbike is expected to create significant operating synergies, leveraging shared international distributors such as Woodway in the U.S. and Germany and MeFit Pro in the Middle East. Both companies are said to have strong commercial partnerships with leading gym operators and direct-to-consumer (DTC) sales — Wattbike predominantly in the UK and TRNR in the U.S. TRNR’s planned acquisition of Sportstech also strengthens its presence in Germany, supporting Wattbike’s projected growth in the priority U.S. and German export markets. Additionally, Interactive Strength’s Quality and Supply team in Taiwan works closely with Wattbike’s long-standing manufacturing partner, Giant/AIPS, ensuring a seamless integration and continued commitment to product excellence.

2024 Fourth Quarter Summary
In other Interactive Strength news, the company recently released its 2024 annual report, indicating full-year revenue of $5.4 million. The company said it delivered on its projected quarterly revenue guidance for the 2024 fourth quarter, delivering revenues of $2.4 million while incurring a net quarterly loss of $5.8 million, or $7.26 per diluted share, compared to a loss of $11.4 million and $3,214.88 per share in the Q4 period in 2023.

Quarterly adjusted EBITDA, a non-GAAP financial measure, was a loss of $1.9 million, which reflects improved operational performance and represents the highest quarterly revenue to date. For more information regarding the non-GAAP financial measures discussed in this press release, please see “Non-GAAP Financial Measures” and “Reconciliation of GAAP to Non-GAAP Financial Measures” below.

“2024 ended on a high note with revenues growing as projected and losses shrinking – laying a strong foundation for execution against our acquisition strategy in 2025,” offered Ward. “We continued to improve our balance sheet and stockholders’ equity, further stabilizing our listing. We also kept building our international distribution and sales network, driving organic revenue growth during the quarter.”

Image courtesy Wattbike and Blue Fitness Ltd.