The fitness industry is rapidly consolidating, marked by one of the largest deals yet. Playlist, parent of fitness brands Booker, ClassPass, and Mindbody, has merged with EGYM, a startup known for smart gym equipment, AI-driven workout plans, and the corporate wellness marketplace Wellpass.
On Tuesday, Playlist announced the transaction’s completion after initially disclosing the agreement in January. With the merger finalized, EGYM will operate under Playlist along with its other brands, with shared leadership between Playlist CEO Fritz Lanman and EGYM CEO Philipp Roesch-Schlanderer.
The combined company is valued at $7.5 billion.
This merger aims to create a significant force in the fitness and wellness industry. By incorporating EGYM with B2B platforms like Booker, which caters to spas and salons, and Mindbody, a widely-used software by gyms and studios, in addition to the consumer app ClassPass, Playlist is integrating multiple industry layers into a unified system. The collective company manages aspects ranging from business operations to how users discover and book classes, deliver workouts in gyms, and even offer fitness as a corporate benefit.
The scale is noteworthy. The company expects to reach millions of users across more than 30 countries, connecting over 40,000 businesses on Mindbody, more than 88,000 venues on ClassPass, upwards of 20,000 employer partners through EGYM Wellpass, and over 33,000 fitness locations equipped with EGYM gear.
This move is part of a broader industry trend, as MyFitnessPal acquired Cal AI, an AI calorie-counting app, and Strava bought The Breakaway and Runna apps.
EGYM itself acquired U.S.-based FitReserve in 2024.
The merger represents a shift from Playlist’s earlier public offering plans. In 2024, the company, then Mindbody-ClassPass, was considering an IPO. By 2025, it rebranded as Playlist, combining its three core businesses into one identity.
The deal included $785 million in investment led by Affinity Partners, Jared Kushner’s firm, alongside Vista Equity Partners, Temasek, and L Catterton. This funding aims to bolster future AI initiatives and help EGYM expand further into North America and Asia, regions where its presence was limited.
Playlist has already introduced several AI-driven capabilities, such as Mindbody’s Messenger AI for handling inquiries and booking requests; ClassPass’s SmartTools, applying machine learning to allocate class spots; and EGYM Genius, offering personalized training plans based on members’ goals and available equipment.
The company has not disclosed details about any upcoming AI innovations.