Peloton to acquire fitness equipment maker Precor in $420M bid to grow commercial business
The Precor acquisition will be made by means of a deal that’s valued at an overall of $420 million, and in addition to expanding its commercial organization, this also assists Peloton bring on a lot more manufacturing capability in a time when its order line for its Tread and Bike hardware is deeper than ever, thanks to the boost in need resulting from the COVID-19 pandemic. Precor currently keeps a substantial U.S.-based manufacturing operation, as well as devoted research study and advancement teams and centers. While the near-term use of the acquisition, which is set to close in 2021 if it satisfies all approvals, is to speed up shipment times for customers of existing devices, long-lasting this deal sets Peloton up perfectly for greater industrial market growth– once the industrial market returns to growth.