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New York-based fitness app ClassPass is valued at more than $1 billion

New York-based fitness app ClassPass is valued at more than $1 BILLION after raising new cash from investors

  • ClassPass on Wednesday announced a $285 million Series E funding round
  • The new investment values the fitness app company at more than $1 billion
  • ClassPass sells provides access to gyms and fitness classes for a monthly fee

Fitness app ClassPass has raised $285 million in Series E funding at a valuation of more than $1 billion.

ClassPass, through its mobile app, sells monthly subscription plans that provide access to over 30,000 fitness studios and gyms around the world. 

It has also partnered with companies like Google, Facebook Inc and Morgan Stanley to offer corporate wellness plans.

‘This investment is a significant milestone that will further our mission to help people stay active and spend their time meaningfully,’ said ClassPass founder and CEO Payal Kadakia.  

ClassPass was started by Payal Kadakia (above) in 2013 after she struggled to find a dance class in New York. She is currently executive chairwoman of the company

The new funding round was led by L Catterton and Apax Digital, with additional participation by existing investor Temasek. 

The firm had previously been valued at $536.4 million, according to Prime Unicorn Index primeunicornindex.com, an index that tracks the performance of private U.S. companies.

ClassPass raised $85 million in series D financing in July 2018, led by Singapore state investor Temasek, which had also invested in an earlier funding round.

The Series E shares was valued at $12.58 per share, an 18 percent jump from that fundraising round, according to a filing.

ClassPass, through its mobile app, sells monthly subscription plans that provide access to over 30,000 fitness studios and gyms around the world

ClassPass, through its mobile app, sells monthly subscription plans that provide access to over 30,000 fitness studios and gyms around the world 

ClassPass was started by Payal Kadakia in 2013 after she struggled to find a dance class in New York. She is currently executive chairwoman of the company.

It comes after shares in publicly-traded Peloton continued to slide in the wake of a report claiming the company with an $8.3 billion market cap is worth as little as $1 billion.

Citron Research based the downgrade on the fact that other manufacturers produce smart exercise bikes for just $500 and that existing bikes can be converted into Pelotons with a $12 attachment and the use of the firm’s app. 

Peloton shares were down 2.5 percent on Wednesday, to $29.65, after sliding 15 percent over the past month. 

Read more at DailyMail.co.uk