Peloton has announced plans to replace its chief exec, cut costs and overhaul its board, as the exercise bike maker tries to regain momentum following a share plunge.
According to the Wall Street Journal, co-founder John Foley will step down as CEO and become the executive chair, while Barry McCarthy, the former chief financial officer of Spotify and Netflix, will become the new head.
Investment firm Blackwells Capital had also advised the company to remove Foley as chief.
It comes after ongoing reports that both Amazon and Nike are gearing up to buy the exercise bike maker, which caused a slight share hike.
The US firm will also cut roughly 2,800 jobs, affecting 20 per cent of its corporate position, the newspaper reported.
The company first boomed during the pandemic, when gym goers were suddenly forced to resort to home work outs.
However, it was unable to maintain its popularity as restrictions were lifted and some glimmer of normality returned.
Peloton’s shares fell 83 per cent in the last year, valuing the company at $9.7bn (£7.2bn), compared to its 2020 boom of $50bn (£37bn).
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