Peloton's plans to pursue an initial public offering (IPO) appear to be on hold.
The New York City cycling brand, which sells bicycles for the home consumer and streams hours of live digital programming daily, hinted at a potential IPO in December 2015 when CEO John Foley discussed the possibility with the New York Business Journal.
On Monday, Lisa Klinger, Peloton's chief financial officer, told Bloomberg TV that the timing for a potential IPO is "anybody's guess."
“Right now, we’re really focused on growing the business and expanding our business model," Klinger said. "We’re certainly looking at strategic alternatives from a capital structure perspective. An IPO is a leading indicator of that. As for [IPO] timing, many of the things related to timing are outside the company’s control. For right now, we’re doing everything that we can to position our company to take advantage of any opportunities that might present themselves in the marketplace.”
The full Bloomberg TV interview with Klinger is below:
In December 2015, Peloton received a $75 million growth capital investment from consumer-focused private equity firm Catterton, which has investments in Pure Barre, CorePower Yoga and Sweaty Betty. In February, Peloton announced a partnership with Strava.
Indoor cycling studio brand SoulCycle, New York City, filed papers for an IPO about a year ago, but it has yet to materialize. Back in March, Equinox CEO Harvey Spevak spoke about the SoulCycle IPO delay to Bloomberg TV Canada. SoulCycle is owned by Equinox.
"We've all seen what's happened with the U.S. stock market," he said. "If you look at the history over the last 12 months, the data says there are only two IPOs that are now trading above their offering price. So, we're kind of in a watch mode right now."
Like Peloton, Spevak said at the time that SoulCycle was "continuing to grow the business" to meet consumer demand.