ClassPass raises $85m in new funding

Subscription fitness platform ClassPass just bulked up its business with a financing round intended to help boost its offerings in new markets.

The New York-based start-up raised $85 million (Dh312 million) in new funding led by Temasek Holdings, according to a company statement Wednesday. The Singaporebased firm was also at the forefront of ClassPass’ $70 million funding round last year. Singapore will be the first country ClassPass enters as part of its expansion into Asia, Tech Crunch reported in June.

L Catterton, a consumerfocused private equity firm with a portfolio that also includes fitness companies CorePower Yoga and Equinox, also participated in the round.

ClassPass, founded in 2013, has now gained a total of $255 million in funding. The company’s latest valuation wasn’t disclosed.

Industry

The global fitness- and health-club industry generates more than $80 billion annually, according to data from Statista. ClassPass gives users access to a spectrum of yoga, Pilates, cycling and other group fitness classes as part of a subscription. It works with more than 10,000 fitness studios and is currently available in 50 cities across the globe.

After launching in 10 new US cities last fall, ClassPass plans to expand to more than 20 new countries, along with another 10 domestic cities by the end of 2019, the company said. The new financing will help accelerate those timelines and operations to support the company’s ambitions of being the largest fitness aggregator in the world, ClassPass said in the statement.