Nautilus Inc., Vancouver, Washington, has sold Octane Fitness to TRUE Fitness Technology Inc. for $25 million, the company announced.
TRUE also assumed $3 million of warranty liabilities and $0.5 million of vendor recourse lease obligations. The transaction was signed and completed on Oct. 14.
Nautilus had owned Octane since 2015 when it purchased the company from North Castle Partners for $115 million.
With the sale, Nautilus is out of the commercial fitness equipment market and will focus solely on connected in-home fitness equipment.
This isn’t the first time Nautilus has exited the commercial fitness equipment market. Nautilus Inc. owned the commercial brands Nautilus and Schwinn before selling those in 2009 to Med-Fit. Core Health & Fitness, Vancouver, Washington, then purchased the two brands from Med-Fit in 2014.
“The sale of Octane Fitness aligns with the larger strategic enhancements we are making as a business to streamline our operations and accelerate the transformation of the consumer side of our business,” Jim Barr, CEO of Nautilus Inc., said in a media release. “We are focused on dramatically enhancing connected in-home fitness and continuing to provide our customers with cutting-edge technology and a superior customer experience. We will use the proceeds of this transaction and our improving balance sheet to continue the transformation of our leading fitness offerings.”