The investment, according to a news release from Gympass on Wednesday (August 23), comes as the company’s customer base increased by 80% in July to more than 15,000 corporate clients and topped 2 million employee subscribers throughout its network of more than 50,000 partners. The firm is valued at $2.4 billion as a consequence.
As stated in the press release, Gympass CEO and Co-Founder Cesar Carvalho said that “our accelerated growth and new round of funding reflects validation of our model, that Gympass is uniquely positioned in any economic environment as companies seek innovative partners to reduce healthcare costs and improve employee wellbeing.”
The press announcement states that Gympass offers a network of gyms, studios, classes, personal trainers, and wellness programs as an employee perk.
The company wants to help employees on their paths to wellness by providing a platform that fosters inspiration, self-assurance, and a sense of community, according to a news release. Gympass has also worked with wellness organizations and expanded its focus to cover non-physical wellness domains including monetary wellness, emotional wellness, and nutrition.
A Gympass news release stated that studies showed recruiting physically active employees might help businesses save their healthcare costs by 35%.
According to Carolina Brochado, deputy head of the EQT Growth Advisory team, which handled the investment round, Gympass and its partners expand the market by obtaining access to workers who would not otherwise have access to health activities.
In another recent move to “re-energize” the market for employee well-being products, WebMD Health Services announced in June that it would purchase Limeade. The transaction will create a new firm with over 700 employees that will operate globally and provide services targeted at increasing participation, providing insightful data, reducing health risks, and reducing healthcare costs.
