This is the rumor that swelled all weekend across the Atlantic. In difficulty for more than a year, Peloton would be in the crosshairs of several large groups.
Among those interested in a possible takeover of the manufacturer of sports machines: Amazon, Nike and even Apple.
Peloton soon to be bought by a large group?
It was one of the stars of containment. Peloton, the manufacturer of high-end exercise bikes and treadmills, is going through an unprecedented crisis after having taken full advantage of the health crisis and its share of confinements, which have pushed people to equip themselves. However, since the partial return of employees to the office and the easing, or even the end, of restrictions in many countries, Peloton has seen its value collapse from nearly 50 billion dollars a year ago, to go into below $8 billion last week.
This staggering fall would not leave several big names indifferent, ready to jump at the chance of a takeover. A rumor that swelled all weekend across the Atlantic, while several media went there with their information. In the end, three potential buyers stand out: Amazon, Nike and Apple. ” Amazon spoke with advisers about a potential deal “, advanced Friday, February 4 the wall street journalcorn ” there is no guarantee that the e-commerce giant will follow up on an offer or that Peloton, which works with its own advisers, will be receptive “, However, indicates the media. As pointed out by FinancialTimessuch a takeover would allow Amazon to strengthen its health and well-being division, as the company launched its Halo activity tracker in 2020, which monitors users’ activity and sleep habits.
Amazon, Nike and Apple interested
For its part, Nike has already considered an offer before the company is listed in 2019. The objective of such an acquisition would be to consolidate its offer of sports equipment. According to information from FinancialTimes, however, no discussion between the two parties has been initiated. Another name mentioned by the Anglo-Saxon media: Apple. Wedbush analysts see it as ” a major strategic move that would accelerate the company’s aggressive moves in the health and fitness markets for the next several years “. An acquisition that would be both offensive and defensive.
Other potential buyers would also be interested, but no agreement is imminent according to the economic daily. Still, if there were to be a deal, it could be significant given Peloton’s current market value compared to its peak about a year ago. A transfer encouraged by activist fund Blackwell, holding 5% of the company’s capital, which believes that the manufacturer would be more efficient under the supervision of a large group. The investor is also demanding the departure of CEO and co-founder John Foley, held responsible for Peloton’s mismanagement and its fall of more than 75% last year and nearly 25% since January.
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Sources: wall street journal
, FinancialTimes
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