Echelon Fitness Multimedia LLC, a maker of exercise bikes and other workout equipment, is exploring strategic alternatives that could value the company at more than $1 billion, sources told Bloomberg.
Options reportedly include raising at least $100 million in funding, a sale or a public listing through a merger with a special purpose acquisition company.
In late December 2020, Echelon Fitness completed a $65 million financing led by Goldman Sachs Growth with participation from existing investor North Castle Partners.
Echelon has faced an accelerated demand curve due to COVID-19. The Bloomberg report indicated that revenues surged more than five-fold to exceed $100 million with its app offering live and on-demand classes to more than 100,000 members.
Echelon positions itself as a price-competitive alternative to Peloton, and its products are sold by retailers such as Walmart, Target, Costco, and sporting goods chains.
Photo courtesy Echelon Fitness