(Businesshala) – IFIT Health & Fitness Inc postponed its US initial public offering on Thursday, citing unfavorable market conditions that worried investors over rising volatility in capital markets.
While the United States has recently enjoyed a boom in its capital markets, defaults in Chinese property developers have been tied to the fate of the cash-strapped Evergrande, record-high energy costs and inflation fueled investor concerns and market swings. has stopped.
IFIT is the first major company to postpone its IPO in the United States due to this increased stock market volatility, and follows several European companies, including France’s Icade Sainte, who have put their IPO plans on ice.
Allview Systems Holdings, an alternative investment technology solutions provider, said last week that it would postpone its New York IPO, citing unfavorable market conditions.
Logan, Utah-based IFIT, formerly known as ICON Health & Fitness, said it would continue to evaluate the timing of its IPO.
IFIT sells treadmills, stationary bicycles, elliptical trainers, fitness apparel and footwear, among other things. Its other brands include Proform and Freemotion.
The roots of the company go back to the founding of Weslo Inc., a predecessor company, in 1977. IFIT, which now has more than 6.4 million members, sold interactive fitness products with a gross business value of $2.8 billion in fiscal year 2021, according to its filing.
A successful IPO by the company last year will build on momentum gained from rapidly growing demand as people flocked to workouts at home with health clubs and gyms closed to contain the spread of the virus during the COVID-19 pandemic.
The company was valued at more than $7 billion in a funding round in October in which it raised $200 million from private equity firm L Catterton and current backer Pamplona Capital Management.