Apparel, compression and sports performance brand Under Armour has announced its acquisition of MapMyFitness, the fitness technology company powering one of the world’s largest digital fitness communities, for a price tag of US$150 million.
MapMyFitness has one of the largest connected fitness communities in the world and offers a diverse suite of websites and mobile applications under its flagship brands, MapMyRun and MapMyRide. Utilizing GPS and other advanced technologies, MapMyFitness provides users with the ability to map, record and share their workouts.
Under Armour intends to initially finance the US$150 million acquisition of MapMyFitness with borrowings under its existing revolving credit facility, cash in hand or a combination thereof, while it evaluates longer-term funding options for the transaction. The deal is expected to close by the end of 2013 and Under Armour’s previously provided 2013 guidance and preliminary 2014 outlook remain unchanged.
With this acquisition, Under Armour’s release notes that the company ‘will be uniquely positioned at the forefront of sports and technology and will continue to deliver game-changing solutions to how athletes train and perform.’ As part of the collaboration, Under Armour will add depth to its digital capability, offering athletes an elevated training experience through new digital products and platforms.
“This partnership is about Under Armour enhancing our digital expertise to drive the future of performance innovation for the global athlete community,” said Kevin Plank, Founder and CEO of Under Armour. “We will build on the community of over 20 million registered users that MapMyFitness has cultivated in the connected fitness space, and together we will serve as a destination for the measurement and analytics needs of all athletes.”
He continued, “Innovation has always been at the core of our company, and now we are better positioned to design open, digital products for the athlete of tomorrow and become more proactive in providing solutions that will help people across the world lead healthier lifestyles.”
As a wholly-owned subsidiary of Under Armour, MapMyFitness will continue to operate out of its headquarters in Austin, Texas.
Robin Thurston, MapMyFitness Co-Founder and CEO said, “MapMyFitness has engaged and built a global community, making advanced training tools more accessible through our web and mobile platforms. The combination of Under Armour’s powerful commitment to athletes and innovation and our connected fitness technology allows us to better serve the needs of athletes around the world.”
Under Armour was advised by the investment banking advisory firm, Peter J Solomon Company and the law firm King & Spalding LLP. MapMyFitness was advised by the investment firm, Allen & Company and the law firm Wilson Sonsini Goodrich Rosati, Professional Corporation.