LNK Partners has sold its minority stake in Beachbody, a provider of fitness and weight-loss solutions. The buyer was not identified. No financial terms were disclosed.
LNK Partners is pleased to announce the successful exit of our minority investment in Beachbody. Beachbody is a leading creator and marketer of fitness and weight-loss solutions such as T25, P90X, INSANITY, 21 Day Fix, and Shakeology. During LNK’s investment period, the company significantly expanded its direct selling business and successfully launched its online streaming service, Beachbody On Demand, which now has over 1.5 million subscribers and continues to grow rapidly.
Carl Daikeler, the CEO and co-founder of Beachbody, commented, “In 2012 when LNK invested in Beachbody, it quickly became clear we had chosen the perfect partner. Insights and assistance we got from the LNK team were so important, helping us navigate the fast changing environment, grow our business rapidly and profitably, and do so while maintaining our unique company culture. Our relationship with LNK has been a real success story, and I’m proud to say six years later that we are a much stronger company, teed up for our next phase of growth.”
David Landau, Managing Partner of LNK, added, “It has been a privilege for LNK to partner with Carl and the Beachbody team. This transaction not only represents an excellent result for our investors, but very importantly also positions Beachbody for continued success for many years to come.”
Beachbody On Demand
This investment is another example of how LNK is able to partner with founder-owned companies, often as a minority investor, to help build outstanding consumer businesses that deliver a compelling and highly differentiated value proposition to their customers. Over our history, approximately two-thirds of LNK’s investments have been in founder-led businesses.
As a reminder, LNK remains focused on identifying opportunities where we can invest $50-200 million of equity capital per deal. Most importantly, we are looking for companies where there is a management team that is interested in finding a true partner for their business. In more than half our deals, LNK has been a minority investor, but we are open to owning greater than 50% as long as the management team with whom we are partnering continues to be committed to remaining with and invested in the business.