Peloton Makes Biggest Purchase With $420 Million Precor Deal

  • Acquisition adds U.S. manufacturing capabilities; stock jumps
  • Peloton to expand to gyms, hotels, other commercial locations
Peloton President William Lynch talks about buying Precor.Source: Bloomberg)
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Peloton Interactive Inc. agreed to buy fitness-equipment company Precor for $420 million to gain U.S. manufacturing capabilities and new expansion opportunities.

The deal is expected to close early next year and is the largest to date for the New York-based maker of pricey bikes and treadmills. Shares of the company jumped 8% in extended trading.