Several PE firms are reportedly interested in helping Peloton undergo a full-blown transformation as a private company. Read: https://lnkd.in/eKMteKcN
Value Add’s Post
More Relevant Posts
-
Private equity firms circle Peloton for potential buyout. Private equity firms have been circling Peloton for a potential buyout, people familiar with the matter told CNBC. Some of the discussions have centered on how to cut Peloton’s operating expenses to make a buyout more attractive. Last week, Peloton announced CEO Barry McCarthy would be stepping down and said it planned to cut 15% of its staff as it issued a disastrous earnings report. $PTON https://lnkd.in/g4Eu6jUq #tradeguard #receivableputoptions #arputs #receivableputs #tradereceivables #accountsreceivables
Private equity firms circle Peloton for potential buyout
cnbc.com
To view or add a comment, sign in
-
CEO/Board Member/Advisor/President/General Manager/High Growth and Turnaround Expertise ex: Nike, Cervelo, Intel, Polar
Peloton Interactive dodged a bullet. They bought time. But the giant question mark remains: what is the future of this company? CNBC crystalizes the issue: when a company's churn exceeds new customer acquisition, how does it stabilize, let alone grow? Time for a trip down memory lane... Shortly after PTON's 167.43 peak (January '21), I hosted a group of Wall Streeters for an informal bbq at my house. I shared with them two predictions (convictions). First, "if PTON hits the discount switch before Labor Day, dump the stock. That's your signal that the wheels are coming off." Second, "PTON has built a goldmine they absolutely must leverage. Riders are doing 20-ish rides per month. On the face of it, that is amazing. But consider that this means PTON is only relevant to its customers for 45 minutes a few days per week. And that relevance is hugely dependent on fresh content and cult of personality. Super high risk." Check. Check. Simeon Siegel, CFA has the right idea with the "bear hug," which I agree, makes sense. However, since the peak, I've advocated for PTON to take the bear hug a key step further and think "how can we be relevant to our customers multiple times per day regardless of whether they do a class? How can we deliver value if a customer were to decide 'you know what, I'm kinda done with spinning.' Can we retain them, even then?" If the company is ready to get religion around core customer LTV, retention and referral, this is essential. The good news is the opportunity sits in plain sight. The choice need not be "are we a NetFlix-like content company or are we a hardware company company" as Gabrielle Fonrouge suggests. There's a third, much more attractive option just waiting to be seized. DM me if you're curious to learn more. Jennifer C. Karen Boone Chris Bruzzo #fitness #turnaround #LTV #digitalfitness #homefitness #wellness #health https://lnkd.in/efu36XBD
Peloton staved off the cash crunch that threatened its business. Where does it go now?
cnbc.com
To view or add a comment, sign in
-
Strategic TA Soothsayer | Headhunter | xActivision xDisney | #ResumeIsKing | resumeandprofilefeedback.com
Like vultures circling a dying gazelle on the plains of the Serengeti…too early in the morning for metaphors? Here’s something more direct: if you’re a Peloton employee…start working on your resume now!! And find your LinkedIn password!! Lastly, do some research on your current, wonky title. Does it make sense in the market? ~~~ “A number of private equity firms have been considering a buyout of Peloton as the connected fitness company looks to refinance its debt and get back to growth after 13 straight quarters of losses, CNBC has learned.” “Firms have zeroed in on how to cut Peloton’s operating expenses to make a buyout more attractive.” - we all know what this means, right? #ResumeIsKing #KeepPressingForward #AlwaysBeNetworking #UpdateYourLinkedInProfile #Engage #Pivot
Private equity firms circle Peloton for potential buyout
cnbc.com
To view or add a comment, sign in
-
#dailyorbit: Private equity is eyeing attractively priced public companies, including this struggling fitness provider that thrived during the pandemic. After 13 straight quarters of losses, the interactive fitness platform Peloton Interactive has reportedly been considering a buyout as part of its efforts to manage debt and revitalize growth. A number of private equity firms have expressed interest in taking the company private, CNBC reported this week. Peloton shares hit penny stock territory in recent months, with shares having fallen more than 97 percent since the end of 2020, equivalent to about a $43 billion loss in market value. Firms are reportedly focusing on how to make a buyout more appealing. Peloton, once a darling of the pandemic era, is aiming to cut operational costs by more than $200 million while attempting to refinance its $1.7 billion debt. According to CNBC, the current level of interest from private equity in acquiring Peloton is unclear. Overall, take-private activity has remained relatively stable this year. Valuations are especially attractive at the smaller end of the market where financing is easier to arrange. Recent take-private deals include Vista Equity Partners’ $1.25 billion bid for healthcare IT firm Model N, and Apollo Global Management, Inc.’s ongoing acquisition of U.S. Silica Company, a provider of fracking sand used in oil-and-gas drilling, valued at $1.21 billion. #PrivateMarkets #IndustryNews #Buyout
Private equity firms circle Peloton for potential buyout
cnbc.com
To view or add a comment, sign in
-
Going private may provide the drafting it needs to move ahead. Private equity firms look to give Peloton a second wind with a potential buyout. The beleaguered connected fitness company just huffed through another disastrous earnings report and going private may be its only salvation. During the dark pandemic days, Peloton was a breakaway success as people stuck at home spent on expensive exercise equipment. In contrast, the company has been operating with no brakes in a financial free fall with dwindling demand for its stationary bikes and treadmills despite price cuts. We've seen a number of companies go private over the years, which allows them to re-organize and restructure, raise new capital and build long-term value without the scrutiny of the public eye and pressure of public reporting cycles. DNA testing company 23andMe, which went from a $6 billion valuation at its peak to zero today, is another company that's hinted at going private for those exact reasons. For Peloton, the climb out of the pits may require less pedaling with private equity https://cnb.cx/3QuUxBd #peloton #privateequity #fitness #business
Private equity firms circle Peloton for potential buyout
cnbc.com
To view or add a comment, sign in
-
Tell me something positive without telling me something positive: "The company reported a narrower net loss of $194.9 million in the fiscal second quarter compared to $335.4 million in the year-earlier quarter." Striving for breakeven is a thankless task, but Peloton's CFO, Liz Coddington, is leveraging numerous strategies to steer the company towards a post-pandemic recovery. If your company is righting the ship, pat yourself on the back. If you need extra help, we've got your back. We can help you with: - Cost Optimization - Revenue Diversification - Strategic Investments - Financial Planning & Analysis Let's chart a course to prosperity together! #FractionalCFO #FinancialStrategy #ClearRoadFinancial
Peloton CFO leans on cost cutting to reverse post-pandemic slump
cfodive.com
To view or add a comment, sign in
-
Tell me something positive without telling me something positive: "The company reported a narrower net loss of $194.9 million in the fiscal second quarter compared to $335.4 million in the year-earlier quarter." Striving for breakeven is a thankless task, but Peloton's CFO, Liz Coddington, is leveraging numerous strategies to steer the company towards a post-pandemic recovery. If your company is righting the ship, pat yourself on the back. If you need extra help, we've got your back. We can help you with: - Cost Optimization - Revenue Diversification - Strategic Investments - Financial Planning & Analysis Let's chart a course to prosperity together! #FractionalCFO #FinancialStrategy #ClearRoadFinancial
Peloton CFO leans on cost cutting to reverse post-pandemic slump
cfodive.com
To view or add a comment, sign in
-
🚨 Big News from Peloton: CEO Barry McCarthy Steps Down 🚨 In a surprising move, Peloton CEO Barry McCarthy has announced his resignation, sparking discussions about the future direction of the company. Alongside this transition, Peloton is implementing a 15% reduction in its global workforce, part of a strategic restructuring effort to streamline operations and enhance financial sustainability. As Peloton navigates this period of change, interim co-CEOs Karen Boone and Chris Bruzzo will lead the company forward. Their appointment underscores Peloton's commitment to ensuring stability and continuity during this transition. Join the conversation and share your thoughts on Peloton's strategic restructuring. What do you think lies ahead for the company? Let's discuss in the comments below! #Peloton #LeadershipTransition #JoinTheConversation 📈💬 https://lnkd.in/dWnXbN8b
🚨 Breaking News Alert: Peloton CEO Barry McCarthy Resigns Amidst 15% Workforce Cut, Strategic Debt Refinancing 🚨 Peloton, the prominent name in connected fitness, is undergoing a significant transformation with the resignation of CEO Barry McCarthy. This announcement, made on May 2, comes hand in hand with a strategic restructuring effort aimed at reining in costs and steering the company towards a more sustainable future. As part of this restructuring, Peloton is reducing its global workforce by 15%, equating to approximately 400 job cuts. The decision reflects the company's commitment to optimizing operations and adapting to changing market conditions. Alongside McCarthy's departure, Karen Boone and Chris Bruzzo have been appointed as interim co-CEOs to guide Peloton through this transitional phase. The restructuring initiative is not solely focused on workforce reductions. Peloton aims to achieve a $200 million expense reduction by fiscal year 2025, signaling a comprehensive review of its operational strategies. This includes reassessing its retail presence and refining its international market approach to better align with evolving business dynamics. Despite the challenges, Peloton remains steadfast in its pursuit of long-term goals, including debt refinancing and deleveraging efforts. The company is actively exploring strategies to refinance debt, extend maturities, and lower borrowing costs, demonstrating its commitment to financial stability and prudent management. As Peloton charts a new course forward, the decision to appoint interim co-CEOs underscores a commitment to leadership continuity and stability. Join the conversation and share your insights on Peloton's strategic restructuring and its implications for the future. Read more in our latest blog post and let your voice be heard. #Peloton #LeadershipTransition #JoinTheConversation Read the full blog post here: https://lnkd.in/dDyB7Udr 📝💬
Shocking Move: Peloton CEO Barry McCarthy Resigns Amidst 15% Workforce Cut, Strategic Debt Refinancing
https://eaglesjournal.com
To view or add a comment, sign in
-
Procrastination is the worst disease of the 21st century—don’t wait to find out if you’re eligible to open an HSA and start saving on healthcare costs. ## Peloton \(PTON\) Shares Skyrocket, What You Need To Know 💪🚴♀️ In the world of fitness and wellness, Peloton has become a household name, revolutionizing the way people exercise from the comfort of their own homes. As a result, Peloton's shares have been soaring recently, creating a buzz among investors. Here's what you need to know about this skyrocketing stock. ### The Rise of Peloton 📈 Peloton offers an all-in-one fitness solution that combines connected equipment, virtual classes, and a vibrant community. With the COVID-19 pandemic restricting gym access, more people have turned to Peloton for their exercise needs. This surge in demand has propelled the company's stock to new heights. ### Strong Financial Performance 💰 Peloton's phenomenal growth is not just a trend; it is supported by substantial financial performance. The company reported a significant increase in revenue and subscriptions, surpassing market expectations. With a growing customer base and expanding international operations, Peloton has proven its resilience and potential for long-term success. ### Future Potential 🔮 As the health and wellness industry continues to thrive, Peloton's future prospects look promising. The company has demonstrated its ability to adapt to changing consumer habits and preferences. By continuously innovating and diversifying its product offerings, Peloton remains at the forefront of the fitness industry. ### Take Action Now to Avoid the Fear of Missing Out! ⏳✅ Don't let the fear of missing out hold you back from potential investment opportunities like Peloton. Open an HSA account today and explore the possibility of investing a portion of your healthcare savings into high-growth stocks. Join the growing community of investors who are leveraging their HSAs to grow their wealth while prioritizing their health and well-being. #hsa #investing #healthcare #health #family #wellness 📈💪❤️🔥🌟🚀
Peloton (PTON) Shares Skyrocket, What You Need To Know
stockstory.org
To view or add a comment, sign in
-
Peloton Secures Financial Flexibility with $1.35 Billion Refinancing Deal Peloton, the fitness technology company, has successfully refinanced its debt with a new $1.35 billion package, alleviating liquidity concerns and cementing a stronger financial foundation. This strategic move enables Peloton to reduce its debt burden, extend its loan maturities, and gain greater financial flexibility to drive future growth. The refinancing package comprises a $1 billion term loan, $350 million in convertible senior notes, and a $100 million revolving credit facility. By securing this funding, Peloton can repurchase a significant portion of its existing convertible notes, deleverage its balance sheet, and bolster its financial position. This refinancing achievement demonstrates investor confidence in Peloton's vision and growth potential, providing the company with a solid foundation to continue innovating and expanding its connected fitness offerings. With its financial stability enhanced, Peloton is well-equipped to navigate the competitive fitness landscape and pursue new opportunities for expansion and success. #Peloton #refinancing #debtrelief #financialflexibility #fitnesstech #growth https://lnkd.in/dVYprGDR
To view or add a comment, sign in
5,641 followers