Wattbike Desperate for Investors Amid Cash Crunch
Wattbike, renowned for providing high-end exercise bikes to Team GB athletes, faces imminent financial crisis and is actively seeking new investors. Turnover has plummeted, and losses have exceeded £16m over the past two years.
Having exhausted short-term financing, Wattbike's owners are preparing to sell the company. Piper, the primary investor, has provided £11.5m in funding.
Despite its claim of serving over 1,000 elite sports teams, including England's men's and women's football teams, Wattbike's financial situation has worsened.
Talks are underway for an extended repayment deadline, subject to conditions. Ashcombe Advisers has been engaged to explore potential acquisition options.
Despite recent financial improvements, Wattbike's sales growth has slowed since the pandemic cycling boom. Like Peloton, Wattbike offers digital classes with its bikes, available from £1,795.
The fitness industry has witnessed a decline in post-lockdown sales, leaving companies like Wattbike grappling with financial challenges.