Reports: Amazon and Nike Exploring Peloton Purchase

Peloton, the stationary-bike maker and seller that has had its share of ups and downs lately, is drawing interest from potential suitors, according to recent reports. On Friday, The Wall Street Journal reported that Amazon.com was interested in purchasing Peloton, "according to people familiar with the matter." Meanwhile, the Financial Times reported Nike was also interested. CNBC.com reported that an analyst thinks Apple is “aggressively involved,” too. But all talks are preliminary, and Peloton has yet to kick off a formal sales process, a person familiar with the matter told CNBC.com. What's more, industry insiders have said that Peloton isn't ready for a sale and that its CEO, John Foley — who, along with other Peloton executives have a combined voting control of 80 percent — have no interest in selling and is confident in the company can achieve its longer-term goals as a standalone business.

Total Retail's Take: Indeed it may be time for Peloton to consider selling while the market is still high. The brand has been in the news recently for the wrong reasons, including unfavorable portrayals of the Peloton name in two popular TV shows, as well as a treadmill recall that the company pushed back against initially. Furthermore, changing consumer needs and behaviors may be having a negative impact on the at-home fitness brand. While demand was high during the height of the pandemic, it’s now on the decline with more people heading back to the gym. So what's in it for the brands that may be interested in acquiring Peloton? Despite its recent setbacks, Peloton is a prime target for companies looking to expand their presence in the connected fitness and health markets.