Global private equity firm Rhône is to make a ‘significant’ equity investment in Wahoo Fitness.
As part of this transaction, Wahoo founder and chairman Chip Hawkins and the company’s management team, including chief executive officer Mike Saturnia, will make reinvestments alongside Rhône. Wahoo’s current private equity investor Norwest Equity Partners will continue to own a minority investment in the company.
“Rhône’s investment marks an exciting new chapter for Wahoo,” said Hawkins. “Rhône has a remarkable track record in partnering with founder-led companies to evolve and strengthen their businesses. I believe Rhône will be a great partner as we continue our global expansion, broaden our portfolio, and leverage the power of technology to transform the way people train and reach their fitness goals.”
Robert Agostinelli, co-founder and managing director at Rhône, added: “We are proud to partner with Chip, Mike, and the rest of the Wahoo team in their plans to grow the business during this dynamic and exciting time for the connected fitness industry.
“In addition to Wahoo’s strong leadership team, we are impressed by the unmatched quality and breadth of Wahoo’s brand and product innovation capabilities and its loyal, passionate customer following.”
The transaction is expected to be completed in the third quarter of 2021. Additional financial terms of the transaction were not disclosed.
Goldman Sachs and Baird advised Wahoo on the transaction. Jones Day served as lead legal advisor and BDO provided transaction advisory services to Wahoo. BofA Securities, Inc. and RBC Capital Markets, LLC acted as financial advisors to Rhône on the transaction and Kirkland & Ellis LLP acted as legal advisor to Rhône.
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