As sales slow, connected fitness M&A is heating up.
The latest: Hydrow is reportedly exploring a deal to acquire CITYROW. Rowing rivals, both companies offer smart equipment and digital content.
Cashing in during the connected fitness gold rush, Hydrow has raised more than $300M to date while CITYROW added $12M in 2021.
Of note, CITYROW started as a boutique studio concept before entering at-home fitness, selling franchises as part of an omnichannel strategy.
But, according to Bloomberg, Hydrow is primarily interested in securing CITYROW’s subscriber base.
Sign of the times. While talks are ongoing, word of a potential rowing tie-up adds to the digital fitness shakeup — FORME recently bought CLMBR, lululemon shuttered MIRROR, and Spinning’s parent co. acquired Spanish equipment maker Volava.
Meanwhile, prominent brands from Peloton to Tonal to iFIT are still adjusting to life post-pandemic.
Punchline: With consumers and investors losing interest in connected fitness—for growth, survival, or simply a way out—consolidation is coming.
