Peloton is finding fewer people interested in acquiring its connected exercise bikes these days, so maybe Amazon will just buy the whole company.
That’s the gist of a thinly sourced Wall Street Journal report Friday afternoon, citing an unspecified number of “people familiar with the matter” saying that Amazon has been speaking to advisors about the idea — then quickly adding the obligatory caveats about no guarantees of there even being an offer, let alone a deal.
Amazon is one of a number of “potential suitors,” the report says, before cautioning again that “no deal is imminent and there may not be one at all.”
Well, at least somebody is making some money on this thing. Peloton shares soared as much as 40% in after-hours trading before cooling down to a 28% gain over the company’s Friday closing price of $24.60. Pelton shares have dropped nearly 85% since their peak in December 2020, the first COVID-19 Christmas season.
Peloton last year completed its acquisition of Seattle-based fitness maker Precor in a $420 million deal, at time when the New York-based company was taking steps to boost its production capacity.
For the record, it’s not the first time we’ve seen people go crazy over the possibility of an Amazon exercise bike. Remember the “Prime Bike” that actually wasn’t?
Amazon declined to comment, citing its customary policy against addressing rumors and speculation.
