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Peloton raises $1.2 billion after IPO prices at top of range

Peloton Interactive Inc PTON.O, the U.S. fitness startup known for on-demand workout programs on its exercise bikes, on Wednesday raised $1.16 billion in its initial public offering after pricing shares at the top end of its target range.

The IPO by Peloton, which has not turned a profit for at least the past three years, was seen by some in the market as a test of investor appetite for loss-making stocks. Peloton priced its IPO at $29 per share, compared to a price range of $26-$29, the company said in a statement, confirming an earlier Reuters report.

This valued Peloton at around $8.1 billion, almost double its most recent valuation in the private market of $4.15 billion, according to data provider PitchBook.

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