Mindbody has larger appetite for buys amid changing fitness landscape, new CEO says

August 31, 2020 by Mergermarket

Mindbody, the Vista Equity Partners-backed technology platform for the boutique fitness, wellness and beauty industries, is accelerating its pursuit of acquisitions to expand offerings and its geographic footprint, said CEO Josh McCarter.

“We absolutely have a desire to step on the gas for M&A,” according to McCarter, who was promoted from president to CEO earlier this month, replacing company co-founder and former CEO Rick Stollmeyer, who transitioned to executive chair.

San Luis Obispo, California-based Mindbody is eyeing acquisition targets in its core business-to-business (B2B) market and growing direct-to-consumer (D2C) business. The company has eyed targets with more than USD 100m in revenue. Its sweet spot is targets with roughly 1,000 to upwards of 10,000 customers, McCarter said.

Founded in 2001, Mindbody provides cloud-based online scheduling and other business management software to more than 58,000 small and mid-size businesses (SMB) with about 35 million consumers located throughout 130 countries. The company is “by far” the largest in its space, according to McCarter.

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