Strava, the fitness tracking app revolutionizing how enthusiasts connect and compete, has confidentially taken significant steps toward an initial public offering (IPO), as reported recently by The Information. This move showcases the company’s ambition to capitalize on its success.
Based in San Francisco, Strava’s IPO could potentially launch as early as this spring, according to reliable sources.
The market for IPOs is poised for a revival in 2026, driven by expectations of decreased interest rates that will uplift investor sentiments and appetite for risk. A backlog of companies that postponed their listings during a prolonged government shutdown is eager to debut in the first quarter of the year.
Earlier this week, Brazilian digital bank PicPay made waves by filing for an IPO in the United States. This move follows its decision to cancel plans in 2021 amid unfavorable market conditions.
Strava was reportedly exploring the recruitment of investment banks to assist with its US IPO, as highlighted by Reuters last year.
In May, the company achieved a significant milestone, securing a valuation of $2.2 billion during a funding round led by Sequoia Capital, with participations from returning investors like Jackson Square Ventures, TCV, and Go4it Capital Partners, according to PitchBook.
Since its inception in 2009, Strava has seamlessly integrated workout tracking with social networking. This platform allows users to monitor their performance in various sports, establish objectives, share achievements, and foster motivation. The app saw a notable uptick in popularity during the pandemic, as fitness enthusiasts took advantage of features such as giving “kudos,” comparing results with friends, and competing against elite athletes.
An IPO would potentially mark a lucrative exit for several of Strava’s long-time investors, including Sequoia Capital and TCV, as reported by The Information.
The company has not yet responded to a request for comments from Reuters.
