With gyms and fitness parks on a lockdown since the rise of COVID-19, people inclined towards healthy living are working out at home to stay fit. Hence home exercise companies are witnessing a rise since the last few months. Taking a step into this industry is Lululemon, a NASDAQ listed athletic apparel retailer from Vancouver. Lululemon is all set to acquire home exercise startup MIRROR for $500 million and hopes to close the sale by the end of the second fiscal quarter of this year. The purchase price is expcted to be paid from Lululemon’s primary sources of liquidity, which includes over $800 million in cash, its existing $400 million revolving credit facility, and a new one-year, $300 million revolving credit facility. This is the first acquisition of the athleisure company as it bets high on the future of fitness-at-home.

Putnam, Founder & CEO, MIRROR, says, “We are thrilled to officially become a part of the lululemon family. As part of lululemon, MIRROR can further strengthen its position and accelerate its growth by leveraging lululemon’s deep relationships with its guests, ambassadors and communities, as well as the company’s infrastructure, including its store network and ecommerce channels, to acquire new users.”

We are thrilled to officially become a part of the lululemon family.

2016-founded MIRROR, a New York-based company, sells full-length mirrors that doubles as interactive home gyms. The company has raised around $74.8 million in funding in four rounds. Around a year back, this startup raised $34 million in Series B round of funding from Point72 Ventures. This acquisition will position Lululemon to accelerate its vision and build upon an ecosystem that will fuel the company’s Power of Three growth plan. The startup will also bolster the company’s digital sweatlife offerings and bring immersive and personalized in-home sweat, and mindfulness solutions to new and existing Lululemon guests.

Calvin McDonald, CEO, Lululemon, says, “In 2019, we detailed our vision to be the experiential brand that ignites a community of people living the sweatlife through sweat, grow and connect. The acquisition of MIRROR is an exciting opportunity to build upon that vision, enhance our digital and interactive capabilities, and deepen our roots in the sweatlife. We look forward to learning from and working with Brynn Putnam and the team at MIRROR to accelerate the growth of personalized in-home fitness.”