Peloton Acquires Three Fitness-Focused Companies

Peloton finalized deals on three companies, looking to expand its current product lineup and introduce new products, a media report says
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Peloton  (PTON) - Get Report has finalized deals on three companies, having acquired Atlas Wearables, Otari and Aiqudo in late 2020.

The New York connected-fitness company said it purchased the companies “to add talent and technology,” to its brand, Bloomberg News reported.

The publication reported that in a recent regulatory filing, Peloton said it paid $78.1 million cash for the three companies.

Through the acquisitions, Peloton is looking to expand its current product lineup and introduce new products.

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-- Aiqudo developed an AI-powered digital voice assistant, which can “add voice actions to apps and devices.” 

-- The “fitness-oriented smartwatches” Atlas Wearables developed can “guide users through workouts and gauge performance.” 

-- Otari’s “interactive workout mat” works “with its own screen.”

Employees from the acquired companies are expected to join Peloton. 

Chief Executive John Foley told Bloomberg that the new products might include a rowing machine and a strength-training device.

Having seen demand for its products jump during the pandemic -- when athletes, fitness buffs and everyone else were stuck at home -- Peloton has used the opportunity to expand to new markets and invest in its supply chain to boost production.

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The fitness company in November acquired intellectual property from the digital health company Peerfit. And in December, Bloomberg reported, Peloton said it would buy the fitness-equipment supplier Precor for $420 million.

Prior to that, Peloton acquired Gossamer Engineering in 2019. The firm is known for helping Google  (GOOGL) - Get Report and Facebook  (FB) - Get Report design hardware.

At last check Peloton shares were trading 3.7% higher at $113.64.