VANCOUVER, British Columbia–(BUSINESS WIRE)–lululemon athletica inc. (NASDAQ:LULU) lately introduced that it has entered right into a definitive settlement to procure MIRROR, a number one in-home health company that created an interactive exercise platform that includes are living and on-demand categories, for a purchase order value of $500 million.
With its best-in-class content material and flexible platform, MIRROR positions lululemon to boost up its imaginative and prescient and construct upon an ecosystem that may gas the Company’s Power of Three enlargement plan, which contains using the business via omni visitor reports. MIRROR will bolster the company’s virtual sweatlife choices and produce immersive and personalised in-home sweat, and mindfulness answers to new and current lululemon visitors.
Calvin McDonald, Chief Executive Officer, commented, “In 2019, we detailed our vision to be the experiential brand that ignites a community of people living the sweatlife through sweat, grow and connect. The acquisition of MIRROR is an exciting opportunity to build upon that vision, enhance our digital and interactive capabilities, and deepen our roots in the sweatlife. We look forward to learning from and working with Brynn Putnam and the team at MIRROR to accelerate the growth of personalized in-home fitness.”
MIRROR provides weekly are living categories and hundreds of on-demand exercises in addition to immersive one-on-one non-public coaching. MIRROR has observed speedy enlargement and powerful engagement because it introduced in 2018 as call for for in-home health choices proceed to extend considerably.
This transaction builds on a a hit partnership between the 2 companies, which started in mid-2019 with an preliminary funding in MIRROR through lululemon, and likewise features a content material partnership which introduced sweat and meditation categories to the MIRROR platform through lululemon’s Global Ambassadors. This acquisition will additional amplify the content material introduction partnership between the 2 manufacturers and can lend a hand lululemon, MIRROR and lululemon Ambassadors succeed in new visitors.
Ms. Putnam, founder and leader government officer of MIRROR, and a former lululemon Ambassador stated, “We are thrilled to officially become a part of the lululemon family. As part of lululemon, MIRROR can further strengthen its position and accelerate its growth by leveraging lululemon’s deep relationships with its guests, ambassadors and communities, as well as the company’s infrastructure, including its store network and ecommerce channels, to acquire new users.”
The acquire value is anticipated to be paid from the company’s number one resources of liquidity, which come with over $800 million in money, its current $400 million revolving credit score facility, and a brand new one-year, $300 million revolving credit score facility.
Following of completion of the transaction, MIRROR will function as a standalone company inside lululemon and Ms. Putnam will proceed as MIRROR’s leader government officer, reporting to Mr. McDonald. The transaction is topic to normal ultimate stipulations and is anticipated to near in the second one quarter of fiscal 2020.
A convention name to talk about this transaction with analysts and traders is scheduled for lately, June 29, at four:45 p.m. Eastern time. If you wish to take part within the name, please dial (800) 319-4610 or (604) 638-5340, if calling the world over, roughly 10 mins previous to the beginning of the decision.
A are living webcast of the convention name and downloadable slides can be to be had on-line at: HTTP://INVESTOR.LULULEMON.COM/EVENTS.CFM. A replay can be made to be had on-line roughly 2 hours following the are living name for a duration of 30 days.
Barclays served because the monetary consultant to lululemon and Fenwick & West LLP and Blake, Cassels & Graydon LLP served as prison recommend. Cooley LLP served as prison recommend to MIRROR.
About lululemon athletica inc.
lululemon athletica inc. (NASDAQ:LULU) is a wholesome way of life impressed athletic attire company for yoga, working, coaching, and maximum different sweaty interests, growing transformational merchandise and reports which allow folks to are living a existence they love. Setting the bar in technical materials and purposeful designs, lululemon works with yogis and athletes in native communities for steady research and product comments. For additional info, consult with WWW.LULULEMON.COM.
MIRROR is a just about invisible, interactive domestic health club that includes are living and on-demand health categories and private coaching in quite a few exercise genres. MIRROR is growing a brand new class of in-home health with state-of-the-art , responsive device, and best-in-class content material that transforms any room into an entire domestic health club. For the primary time, the crucial elements of a perfect studio exercise – selection, personalization, and neighborhood – are delivered to probably the most handy position: the house. MIRROR was once based through Brynn Putnam, writer of Refine Method, named “New York’s Smartest Workout.” MIRROR is headquartered in New York City. https://mirror.co
This press free up comprises statements in relation to the purchase and the Company’s business plans, targets, and anticipated effects which might be “forward-looking statements” inside the which means of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. In many instances, you’ll determine forward-looking statements through phrases similar to “may,” “will,” “should,” “expects,” “plans,” “anticipates,” “outlook,” “believes,” “intends,” “estimates,” “predicts,” “potential” or the adverse of those phrases or different similar terminology. These statements are in accordance with control’s present expectancies however they contain quite a few dangers and uncertainties. Actual effects and the timing of occasions may just vary materially from the ones expected within the forward-looking statements on account of dangers and uncertainties, which come with, with out limitation: that the possible advantages and synergies sought within the acquisition will not be totally learned, if in any respect; that the Company would possibly want to use important sources to reply to a resurgence in COVID-19 instances; that the Company will incur important prices in reference to the purchase, which might prohibit its running flexibility and talent to take responsive movements to present and long term financial uncertainty; that the Company’s present control group has restricted revel in in addressing the demanding situations of integrating the control groups, methods, cultures and organizations of the 2 companies; that the purchase will not be neatly won through shoppers or workers of the 2 companies; that the purchase will not be finished in a well timed way or in any respect; and different dangers and uncertainties set out in filings made now and again with the United States Securities and Exchange Commission and to be had at www.sec.gov, together with, with out limitation, its most up-to-date stories on Form 10-Ok and Form 10-Q. You are recommended to believe those components moderately in comparing the forward-looking statements contained herein and are cautioned to not position undue reliance on such forward-looking statements, which might be certified of their entirety through those cautionary statements. The forward-looking statements made herein talk handiest as of the date of this press free up and the Company undertakes no legal responsibility to publicly replace such forward-looking statements to mirror next occasions or cases, with the exception of as is also required through regulation.