Fitness company Peloton raising US$75m from private equity firm

New York

INDOOR cycling fitness company Peloton Interactive Inc is raising US$75 million by selling a stake to Catterton, a private equity firm focused on consumer businesses.

Peloton's management plans to use the proceeds to accelerate the roll-out across the US of its store showrooms, founder and chief executive officer John Foley said. Unlike traditional cycling studios that provide exercise classes, Peloton customers buy a US$1,995 bike equipped with a tablet computer and pay a monthly subscription fee to follow exercise classes streamed live from its studio.