Lululemon to buy fitness start-up Mirror for $500 million
Expensive yogowear firm Lululemon has snapped up home workout company Mirror for $500 million.
Coronavirus lockdown has forced people around the globe to workout from home and the yogawear maker wants to cash in on the trend.
The closure of gyms has led many to spend big on home workouts, boosting sales of companies such as Mirror and Peloton.
New York-based Mirror, which launched in 2018, is set to record $100 million in revenue this year.
The company sells mirror-like video monitors and subscriptions for live workout classes priced at $1500 per month.
Mirror has been viewed by many as an alternative to Peloton’s wildly popular connected machines.
There’s stiff competition in the space, including Tonal and Tempo, but Mirror continues to the biggest name of the bunch.
Lululemon has survived during the coronavirus crisis as consumers have rushed to buy comfortable clothing for their indoor workouts.
Lululemon first bought a stake in Mirror last year, when the company raised $72 million from private investors.
The deal is set to close in the next two weeks.
