A bunch of fitness companies have jumped into the IPO market this year. It’s not working out.

It may have, based on Thursday’s market, which saw the latest fitness company to go public — Life Time Group Holdings — flounder in early trade, while another expected this week, iFit Health & Fitness, postponed its deal, citing adverse market conditions.

F45, a fitness studio franchisor backed by actor, producer and fitness fan Mark Walhberg, raised $325 million at a valuation of $1.5 billion. Xponential, a boutique fitness brand franchisor and owner of brands including CycleBar and Pure Barre, raised $120 million. “Peloton and iFit are kind of 80/20 equipment versus subscriptions, with equipment a sort of one-time buy for life,” Liu told MarketWatch. “What they want is to build subscriptions by investing in content so that will be their future revenue base.”

The most exposed companies in the space are pure platforms, as they sell subscriptions that require constantly updated content and new trainers to avoid their customers getting bored of repeating the same routine for months. For F45, the FHR stood at 31 at year-end, compared with 30 in December of 2019, before the start of the pandemic.

good

South Africa South Africa Latest News, South Africa South Africa Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

SXSW Sues Insurance Company for Not Funding Defense in Class Action LawsuitSXSW is suing its insurance company for not covering the event's legal fees in an ongoing class action suit from attendees wanting refunds for last year's canceled event.
Source: billboard - 🏆 112. / 63 Read more »

BMG's CEO Has a Grand Idea for the Music Industry: Don't Screw Over ArtistsHartwig Masuch discusses finding greater equality for artists, the chances of an IPO and why the company’s landmark deal with Tina Turner is only the beginning RebeccaFMusic 💖💖💖👏👏👏👏👏👏 Lmaooo thought im seeing one of TheOnion ‘s tweets for a sec
Source: RollingStone - 🏆 483. / 51 Read more »

Business insolvencies set to rise globally in 2022 — first time since Covid pandemic, research showsGlobally, business insolvencies are expected to jump 15% on year in 2022 following two consecutive years of decline, said trade credit insurer Euler Hermes. If they really want to see this country boom give every citizen a stimulus check . 2000 every month for 2 years . U can help the business al u like but if people don’t have money they can’t sell what people can’t afford .
Source: CNBC - 🏆 12. / 72 Read more »