Digital fitness and wellness company FitOn has raised $40 million in Series C financing led by Delta-v Capital, the company announced Tuesday. FitOn is also expanding its reach in wellness through the acquisition of the Tampa-based business wellness platform Peerfit. The terms of the deal have not been disclosed. Peerfit founder Ed Buckley will remain in his current role as CEO.
The funding comes as the Los Angeles-based company hit 10 million users last year for its app, which offers personalized fitness and wellness programs. The app includes workouts with various partners, including Orangetheory Fitness, KIRGY and Zumba, along with celebrity ambassadors Gabrielle Union-Wade, Julianne Hough, Jonathan Van Ness, Halle Berry, Lindsey Vonn, and more.
Founded by the husband-and-wife team of former Fitbit executive Lindsay Cook and AllTrails founder Russell Cook, the app was launched two years ago with a mission to provide people with an affordable and inclusive way to approach wellness. The duo aims to provide premium fitness content that is easily accessible, with a social fitness experience that helps people find motivation.
“Our focus was on leveraging the ubiquity of the smartphone to give everyone a gym in their pocket and a social experience they can’t find anywhere else,” FitOn CEO Lindsay Cook told TechCrunch. “Exercise and being active is an integral part of what helps us stay healthy and feel great, but like many executives, I found that sometimes we’re all too busy to exercise. I founded FitOn in 2019 because I wanted to give people an affordable and inclusive way to approach wellness by putting themselves first on their to-do list.”
Cook says the acquisition of Peerfit brings together both home and gym fitness to support the health and wellness needs of consumers, employees and Medicare recipients. Peerfit connects employers, brokers and insurance companies with local fitness experiences and wellness services and has more than 13,000 employer customers. Cook says that by integrating Peerfit into FitOn, the company can accelerate its business activities.
As for the new funding, Cook says FitOn will use some of the investment to execute the Peerfit transaction and continue to invest in its business product. The company will also spend some of the funding to expand its team and grow internationally in both the consumer and corporate wellness markets. The funding round included participation from Accel, Maverick Ventures, Second Avenue Partners and Mantis VC, along with a strategic investment from United Talent Agency venture capital fund, UTA VC† The new investment brings the company’s total funding to $70 million.
Cook says FitOn has seen accelerated growth in the digital fitness industry during the pandemic and has seen a significant increase in workouts and sign-ups. FitOn also saw a threefold increase in the number of friends who exercised together. The company’s goal is to have 100 million members exercise weekly on FitOn. Looking ahead, Cook says FitOn is focused on reducing barriers and empowering people to be fully committed to their health and well-being.
“We are focused on continuing to innovate in premium content, creating more personalized fitness experiences, expanding internationally and bringing social responsibility to everyone they can’t find anywhere else,” said Cook.
The company’s Series C investment follows its $18 million Series B financing announced in October 2021. The round was led by Delta-v Capital, with the participation of existing investors Accel, Telstra Ventures, Crosscut Ventures, Maverick Ventures and Second Avenue Partners.