(Reuters) - Peloton Interactive Inc, the fitness startup known for on-demand workout programs on its exercise bikes, on Tuesday filed for an initial public offering, the latest high-profile technology company to eye a public listing in 2019.
Peloton follows the likes of Uber Technologies, Lyft Inc and a host of other start-ups to pursue IPOs this year, as they look to raise money to fund expansion and allow early investors to cash out.
Founded in 2012, Peloton sells indoor bicycles in packages requiring memberships to access live and on-demand classes from home.
The company, which was most recently valued at $4.15 billion according to PitchBook, said it plans to use funds from the offering to run its operations, invest in marketing and acquire new technologies.
Peloton set a placeholder amount of up to $500 million but did not specify the size of the IPO. (bit.ly/2U7Wkhg)
Like Uber and Lyft, whose stocks have struggled since going public, Peloton revealed in its filing it suffered widening losses in the last two years and cautioned that it may not achieve profitability in the future.
The losses have helped fund the company’s rapid growth with revenue rising to $915 million in the first six months of 2019, a more than four-fold rise from the same period in 2017.
Subscribers of its Connected Fitness program, which allows unlimited workouts for multiple users within a household, more than doubled this year to 511,202.
Peloton has been at the forefront of disruption in the exercise industry, with busy gym goers valuing the ability to work out on their own schedules.
Barclays, JP Morgan, BOFA Merril Lynch are among the underwriters for the IPO.
Reporting by Abhishek Manikandan in Bengaluru and Joshua Franklin in New York; Editing by Shailesh Kuber