BALTIMORE, Oct. 30, 2020 /PRNewswire/ -- Under Armour,
Inc. (NYSE: UA, UAA), a global leader in branded athletic
performance apparel, footwear and accessories, today announced
that it has entered into a definitive agreement to sell the
MyFitnessPal platform to Francisco Partners.
"As part of our ongoing transformation, we are committed to
actively managing our business to ensure that our strategies and
assets are prioritized to connect even more deeply with our target
consumer – the Focused Performer," said Under Armour President and
CEO Patrik Frisk. "This announcement
reduces the complexity of our consumer's brand journey by
empowering sharper alignment with our long-term digital strategy as
we work towards a singular, cohesive UA ecosystem. Additionally, it
affords us investment flexibility to drive greater return and value
to our shareholders over the long-run."
"MyFitnessPal supports over 200 million users in their ongoing
health and fitness journeys and we are excited to partner with the
business for its next stage as a standalone company to continue a
strong history of recurring revenue growth, organic user
acquisition and a unique consumer proposition," said Christine Wang, Principal at Francisco
Partners.
The transaction value is $345
million, inclusive of the achievement of potential earn-out
payments and subject to working capital and other customary
adjustments. The transaction, which is expected to close in the
fourth quarter of 2020, is subject to customary closing conditions
and regulatory approvals. PJ SOLOMON has served as exclusive
financial advisor to Under Armour on the transaction. King &
Spalding LLP is acting as legal advisor. Paul Hastings LLP and
Kirkland & Ellis LLP are acting as legal advisors to Francisco
Partners.
MyFitnessPal is currently reported within Under
Armour's Connected Fitness segment, which also contains the
MapMyFitness and Endomondo platforms. In conjunction
with this announcement, the company also announced that it would
discontinue its Endomondo platform's operations at the end
of 2020. The MapMyFitness platform, which includes
MapMyRun and MapMyRide, remains a crucial element of
Under Armour's digital strategy, as does its connected footwear
business.
About Under Armour, Inc.
Under Armour, Inc., headquartered in Baltimore, Maryland, is a leading inventor,
marketer and distributor of branded athletic performance apparel,
footwear and accessories. Powered by one of the world's largest
digitally connected fitness and wellness communities, Under
Armour's innovative products and experiences are designed to help
advance human performance, making all athletes better. For further
information, please visit https://about.underarmour.com.
About Francisco Partners
Francisco Partners is a leading global investment firm that
specializes in partnering with technology and technology-enabled
businesses. Since its launch over 20 years ago, Francisco
Partners has raised over $24 billion
in committed capital and invested in more than 300 technology
companies, making it one of the most active and longstanding
investors in the technology industry. The firm invests in
opportunities where its deep sectoral knowledge and operational
expertise can help companies realize their full potential. For more
information on Francisco Partners, please visit
franciscopartners.com.
Forward Looking Statements
Some of the statements contained in this press release
constitute forward-looking statements. Forward-looking statements
relate to expectations, beliefs, projections, future plans and
strategies, anticipated events or trends and similar expressions
concerning matters that are not historical facts, such as
statements regarding the expected sale of our MyFitnessPal business
and related benefits to our company. In many cases, you can
identify forward-looking statements by terms such as "may," "will,"
"should," "expects," "plans," "assumes," "anticipates," "believes,"
"estimates," "predicts," "outlook," "potential" or the negative of
these terms or other comparable terminology. The forward-looking
statements contained in this press release reflect our current
views about future events and are subject to risks, uncertainties,
assumptions and changes in circumstances that may cause events or
our actual activities or results to differ significantly from those
expressed in any forward-looking statement. Although we believe
that the expectations reflected in the forward-looking statements
are reasonable, we cannot guarantee future events, results,
actions, levels of activity, performance, or achievements. Readers
are cautioned not to place undue reliance on these forward-looking
statements. Several important factors could cause actual results to
differ materially from those indicated by the forward-looking
statements, including, but not limited to those identified in our
most recent annual and quarterly reports filed with the Securities
and Exchange Commission. The forward-looking statements contained
in this press release reflect our views and assumptions only as of
the date of this press release. We undertake no obligation to
update any forward-looking statement to reflect events or
circumstances after the date on which the statement is made or to
reflect the occurrence of unanticipated events.
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SOURCE Under Armour, Inc.