Nautilus, Inc. Announces Acquisition of VAY, A Leader in Motion Technology
September 02 2021 - 07:00AM
Business Wire
VAY’s proprietary technology and highly
technical skillset will be committed to the development of Nautilus
product offerings and the evolution of JRNY, Nautilus’ digital
platform
Transaction supports Company’s North Star plan,
including goal of JRNY subscription growth to reach 2 million by
FYE 2026
Nautilus, Inc. (NYSE: NLS) (“Nautilus,” “the Company”), an
innovation leader in home fitness for over 30 years, today
announced that it has entered into a definitive agreement to
acquire VAY (pronounced “way”), a leader in motion technology.
Through a combination of machine learning expertise and a deep
knowledge of human biomechanics, VAY’s proprietary technology
enables computers to understand human motion using cameras. The
acquisition will allow Nautilus to scale its JRNY® digital platform
by providing foundational technologies to power the Company’s
vision and motion tracking capabilities that enable real-time data
analysis during workouts. Nautilus will integrate these
capabilities into its JRNY platform to further advance and
accelerate highly personalized one-on-one workout experiences. JRNY
members will be able to use this technology with its existing and
future Bowflex ® and Schwinn ® strength and cardio products, in
addition to off-product workouts, such as bodyweight, yoga and
other floor exercises.
“As part of our North Star plan, we identified a need in the
market for highly accurate form tracking and coaching. We believe
that incorporating VAY’s technology into JRNY is the fastest way to
accelerate our technical roadmap to deliver superior connected
fitness experiences for our members and enhance the platform’s
progress as a highly personalized one-on-one digital fitness coach.
This acquisition directly supports our aim to continue evolving
into a more digital company and helps us advance our software
development capabilities,” said Jim Barr, CEO of Nautilus. “We also
believe that this partnership will fundamentally change at-home
fitness by helping customers reach their goals in a more
personalized and scientific way.”
VAY’s computer vision software analyzes movements and provides
real-time feedback on exercises, enabling repetition counting, form
tracking and customized coaching. With this acquisition, VAY’s
proprietary technology, experience and highly technical skillset
will be committed to the development of Nautilus product offerings,
which will create even more personalized fitness experiences for
its customers. The VAY management and technical teams will join
Nautilus as part of its software development group. Additionally,
VAY has an existing partnership with ETH Zurich, one of the top
science and technology universities in the world. This partnership
will intensify through a collaboration with the ETH AI Center and
the formation of a dedicated center of excellence for the pursuit
of personalized fitness.
“We are excited to join the Nautilus team as we continue to
create a truly differentiated experience for connected at-home
fitness. As part of Nautilus, we can scale this offering to a
larger consumer base than ever before,” said Joel Roos, Founder
& CEO of VAY. “There is much opportunity ahead to drive
continued innovation. We share the same vision and values and will
be able to capture future growth opportunities in ways we couldn’t
do alone. Together we can define the future of the industry.”
Financial terms of the transaction were not disclosed. The
transaction is expected to close in the coming weeks pending
customary closing conditions.
VAY Advances Nautilus’ Long-Term Strategic Plan
The acquisition of VAY is in support of the Company’s North
Star: Journey to 2026 strategy, which was unveiled in March 2021 at
Nautilus’ Investor Day. The goal of the strategy is to unlock
sustainable growth, and ultimately continue to digitally transform
the Company, including scaling its JRNY digital fitness
platform.
The Company continues to expect the digital subscription
business to represent approximately 20% of total revenue and is
targeting to have 2 million JRNY members by FYE 2026. The
transaction will help Nautilus advance towards a new operating
model that will have a more balanced portfolio of products and
services expected to yield higher recurring revenue and long-term
profit growth.
The Company expects consumer preferences to continue to support
a growing connected at-home fitness market. Nautilus estimates that
25% of former gym-goers do not plan on returning to the gym and the
emerging work-from-anywhere model will continue to be widely
adopted.
About Nautilus, Inc.
Nautilus, Inc. (NYSE:NLS) is a global leader in digitally
connected home fitness solutions. The company’s brand family
includes Bowflex®, Nautilus®, Schwinn®, and JRNY®, its digital
fitness platform. With a broad selection of exercise bikes, cardio
equipment, and strength training products, Nautilus, Inc. empowers
healthier living through individualized connected fitness
experiences; and in doing so, envisions building a healthier world,
one person at a time.
Headquartered in Vancouver, Washington, the company’s products
are sold direct to consumer on brand websites and through retail
partners and are available throughout the U.S. and internationally.
Nautilus, Inc. uses the investor relations page of its website
(www.nautilusinc.com/investors) to make information available to
its investors and the market.
About VAY
VAY specializes in computer vision and AI technology solutions
and has developed reliable and precise software solutions for human
motion analysis using any normal (RGB) camera from a device, such
as a laptop, smartphone, or tablet. With a mission to democratize
professional human motion analysis, VAY enables clients in fitness
& health to understand and analyze human movement, providing
personalized feedback on repetitions and form in real-time. VAY has
partnered with global leaders in connected fitness and digital
therapeutics. Based in Zurich, Switzerland, the company started
R&D in 2018 and was incorporated in 2019 as a spin-off of ETH
Zurich, one of the top science and technology universities in the
world. Since then, VAY has won multiple awards and has established
itself as the global leader of camera-based motion analysis for
fitness & health applications. To learn more, please visit
https://www.vay.ai/.
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version on businesswire.com: https://www.businesswire.com/news/home/20210902005218/en/
Media Contacts: Allison McLarty / Meghan Laarman Edelman
Nautilus@edelman.com
Investor Relations: John Mills ICR, LLC 646-277-1254
john.mills@ICRinc.com
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