Mariana Tek was bootstrapped, growing fast and not looking for a buyer. But it found one.
The D.C.-based tech startup, which makes software for boutique fitness franchises, today announced that it will be acquired by private equity investor Advent International.
The investment was supported by Transaction Services Group, Advent’s portfolio company, and will fuel Mariana Tek’s growth strategy using its current management team and CEO Stacey Seldin.
Seldin said the company tripled its presence over the course of 2018 and had no intention of selling. But as she was talking with venture capital firms about its first capital raise, she was introduced to Advent’s team.
“Advent has been studying the boutique fitness market globally and said there’s a tremendous opportunity for a company with a great app and team to emerge as global leader,” she said. “They came to the conclusion that Mariana Tek could lead that charge. We have a common vision around that opportunity, and they have the resources to make that happen much faster.”
The partnership will provide resources for Mariana Tek to accelerate product development and expand internationally early next year – much faster than it would have otherwise, she said.
Though not a venture capital investor, Advent has $54 billion in assets under management and experience investing in the health and wellness sectors, including Lululemon.
“We look forward to working alongside the company’s management team to strengthen its position as a forceful disruptor for enterprise, franchise and multi-location boutique fitness brands,” said Jeff Paduch, Managing Director at Advent. “We will continue to invest heavily in Mariana Tek to accelerate product development, geographic expansion and payments innovation, leveraging Advent’s deep experience and TSG’s global go-to-market infrastructure.”
Seldin co-founded Mariana Tek in 2014 with John Huffsmith after they built and scaled fitness technology platform Flywheel Sports. She said the new venture is specifically tailored to multi-location brands, capitalizing on a growing trend of franchised fitness venues.
Mariana Tek has 50 employees, primarily in its D.C. headquarters, and additional offices in Florida and New York. Seldin said it’s looking to double its headcount in 2020, mostly with software engineering and design roles.
The startup counts Barry's, New Trail Cycling and Boom Box Boxing among its many clients, and it expects to triple its venue count again next year.
“Advent is adding a tremendous amount of fuel to the fire,” Seldin said. “They think very big and studied the market, and it’s exciting to be their platform of choice.”
