Technology firm Fitbit is taking advantage of the rapidly expanding market for connected health and fitness by launching its business on the New York Stock Exchange, it announced on Thursday night.
Planning to sell shares worth up to $100m (£64m), the San Francisco-based fitness band maker will list its shares on the New York Stock Exchange under the symbol “FIT”.
Fitbit was founded in 2007 by James Park, its chief executive, and his business partner Eric Friedman.
It claims to have pioneered the connected health and fitness market in addition to being the leader in the US fitness tracker market, with a 68% share, according to figures from the NPD Group.
The company sold 10.9m devices last year and reported revenues of $745.4m in 2014 – almost three times the total for the previous year. For the first quarter of 2015, revenue more than trebled to $336.8m.
Fitbit’s entry-level Zip tracker costs $59.95, or £39.99 in the UK, while at the other end of the range its Surge “super watch” costs $249.95, or £199.99.
Net profit came in at $131.8m for 2014 and $48m for the first quarter.
The company, which has made considerable inroads into the corporate wellness market, said it has 9.5m active paid users as of 31 March.
IBISWorld estimated that the US corporate wellness industry will be worth $10.4bn in 2018, up from $7.4bn last year.
Fitbit’s strategy for growth is based on continuing to introduce innovative products with new features and services, as well as making further inroads into the corporate wellness market.
In its filing, the company acknowledged that it operated in a “highly competitive market” and cites the Apple Watch as one possible threat, along with products from competitors including Garmin, Jawbone and Misfit.
The company valued itself at about $1.2bn in March, according to the Wall Street Journal.
It has raised more than $80m from investors, including venture capital firm Foundry Group, which is the largest stakeholder in Fitbit with a 28.9% stake.
