Tonal Names New CEO, Raises $130 Million in Funding

Tonal, San Francisco, named a new CEO and completed a funding round that raised $130 million in new capital, the company announced on April 10.

The funding came through existing investors, led by L Catterton, Cobalt, Dragoneer, Kindred Ventures and THVC. It is part of a broader recapitalization strategy to strengthen the company’s balance sheet, accelerate profitability and drive growth.

Effective April 10, Krystal Zell assumed the position of CEO of Tonal, succeeding the company’s founder, Aly Orady, who will transition to the new role of chief technology officer. Orady, a supercomputer engineer, started the company in 2015.

Zell joined Tonal in July 2022 as president of the company, bringing with her more than 20 years of experience driving customer-centered growth at companies within the retail and hospitality industries, including The Home Depot and Starwood Hotels & Resorts Worldwide Inc.

“I’m honored to be stepping into this new role during such an important inflection point in Tonal’s journey, and to steer Tonal into its next stage of growth with a reinvigorated member-first mindset,” Zell said. “With a robust financial foundation in place, the deep engagement of our members, and partnerships with our vendors, we look to the future with a clear line of focus on serving our members, deepening member engagement, and strengthening member loyalty. Tonal was built on a legacy of amplifying the strength that exists in everyone, and I’m excited to help Tonal deliver on that ambitious mission with the continued support of our dedicated team of employees and enthusiastic investors.”

Orady said: “This is an exciting moment for Tonal, our members and our team. As we embark upon this next stage of our journey, I am filled with confidence as I hand the reins over to Krystal. A proven executive at scale, Krystal is an exceptional collaborator and fierce advocate for our members, who is always putting customers at the center of our business. I look forward to continuing our partnership as I focus on the next phase of technology and product development.”

Tonal’s home gym product offers intelligent features including adaptive digital weight that learns from the user for a personalized, full-body workout. The brand’s full-body strength assessment automatically sets the optimal weight for every move, and adaptive digital weight adjusts in real-time for a personalized workout. Tonal offers more than 3,000 coach-led, on demand and live workouts across a number of fitness categories including strength training, cardio, yoga, HIIT, mobility, Pilates, barre and more.