Strava is looking at becoming a publicly listed company, with shares on offer to investors, according to reports in the US.
The fitness tracking app, popular among cyclists and other athletes, is exploring hiring investment banks for an initial public offering (IPO), Reuters reported on Thursday.
According to the news agency's exclusive report, the San Francisco-based company has invited banks including Goldman Sachs, JPMorgan and Morgan Stanley to pitch for roles on the IPO. It could happen as early as 2026, but sources told Reuters that the company was yet to finalise how much it plans to raise and the valuation it will seek for the IPO.
After a round of funding earlier this year, Strava's valuation was set at US$2.2 billion, including debt, according to a report in the Wall Street Journal. This followed the acquisitions of AI-driven training apps Runna and The Breakaway. The platform is estimated at having over 150 million users globally. Strava's previous fundraising took place in 2020, when the company was valued at US$1.5 billion.
This year, Strava announced further updates to its subscriber offering, including new AI-powered route tools, ‘tappable’ points of interest – such as cafés and toilets – and point-to-point routing, helping users plot direct routes from A to B.
It is not definite that the public listing will go ahead, with this not being the first time Strava has been rumoured to be exploring the possibility. However, as highlighted by Escape Collective, the company is hiring for a Senior Director, Investor Relations and a Director of Revenue Accounting/SEC Reporting, both of which will have responsibilities to do with being a publicly traded company.
Last month, Strava hired a new Chief Financial Officer, Matt Anderson, who spent six years as the head of corporate finance and strategy at Block, Inc. (formerly Square) and led their IPO efforts in 2015.
In the press release announcing Anderson's recruitment, a Strava spokesperson said: "These appointments complete a dynamic leadership team under CEO Michael Martin, as Strava enters a new phase of accelerated growth. The company is approaching $500 million in annual recurring revenue, reflecting continued expansion and deepening engagement across its global community.
"Recent acquisitions of Runna and The Breakaway underscore Strava’s commitment to serving athletes with richer training experiences. With Gen Z increasingly turning to Strava for connection through movement, the platform saw more than 50% growth in new users last year, highlighting the impact of the leadership team’s strategic vision and Strava’s growing global relevance."
