Playlist and EGYM announce merger, creating US$7.5bn fitness behemoth

Playlist and EGYM have announced a definitive agreement to merge the two businesses, creating a global fitness enterprise worth US$7.5bn.

As a result of the deal, EGYM – a global leader in smart fitness technology, AI-enabled workout programmes and corporate wellness solutions – will become a subsidiary of Playlist, the parent company of Mindbody, Booker and ClassPass.

The transaction will create an integrated wellness technology platform and includes US$785m in new equity investments, led by Affinity Partners and featuring a consortium of existing investors including Vista Equity Partners, Temasek, and L Catterton.

The investment will be used to expand EGYM’s fitness technology and corporate wellness offerings into Playlist’s core geographies, including North America and Asia, where they currently have a limited presence. Funding will also be directed to growing Playlist’s limitedto-date presence in Europe through EGYM’s established footprint.

Playlist CEO and ClassPass Founding Chair, Fritz Lanman, and EGYM Co-Founder and CEO, Philipp Roesch-Schlanderer, will serve as Co-Founders of the new Playlist organisation.

As part of the transaction, Roesch-Schlanderer will also join Monti Saroya, Co-Head of Vista Equity Partners’ Flagship Fund, as Co-Chairman of Playlist.

Playlist powers in-person wellness experiences through AI-driven software and consumer booking platforms, while EGYM transforms healthcare from repair to prevention through smart equipment, personalised AI training plans and EGYM Wellpass, a corporate fitness platform which partners with more than 20,000 employers and tens of thousands of fitness locations worldwide.

Fritz Lanman, CEO of Playlist, said: “This merger represents a pivotal moment for both our companies.”