Gympass, a prominent corporate wellness platform, has secured $85 million in a Series F funding round, achieving a valuation of $2.4 billion. Leading the round was EQT Growth, with participation from Neuberger Berman on behalf of its client funds.
Despite challenging economic conditions, Gympass has experienced a remarkable year of growth, expanding its customer base by 80% to encompass over 15,000 corporate clients. The platform also surpassed two million employee subscribers, benefitting from its extensive network of more than 50,000 partners.
Organizations have come to recognize that employee well-being yields benefits beyond retention, happiness, and productivity—it also translates to reduced healthcare expenses. According to a Gympass study on wellness program returns, active employees can curtail company healthcare costs by up to thirty-five percent over twelve months.
Cesar Carvalho, CEO and Co-Founder of Gympass, highlighted the platform’s transformative impact on corporate wellness. He noted that businesses are shifting towards proactive and holistic wellness benefits, recognizing their potential to curtail costs and enhance both employee well-being and productivity.
The surge in growth and the recent funding round reflect the validation of Gympass’s model, positioning it uniquely to navigate various economic landscapes and cater to companies seeking innovative partnerships to drive down healthcare expenses while fostering employee well-being.
Carolina Brochado, Deputy Head of the EQT Growth Advisory team, expressed confidence in Gympass’s trajectory, emphasizing the platform’s potent recurring model that exhibits robust network effects as it scales. This model enables Gympass to provide a diverse and expanding array of partners, reaching employees who previously had limited access to wellness activities, thereby expanding the market and its impact.
Since its inception in 2012, Gympass has led innovation in corporate wellness, offering a comprehensive global network encompassing gyms, studios, classes, personal trainers, and wellness apps—all consolidated within a single employee benefit.
The platform empowers companies to enhance employee well-being and mitigate healthcare expenses by providing a benefit proven to foster higher employee engagement. On average, Gympass more than doubles employee participation in wellness activities.
Gympass’s mission to universalize well-being has never been more critical. A significant majority of global employees perceive well-being as equally important as salary, and over half of U.S. workers and nearly half globally report daily stress.
Modern employees understand the value of well-being and are increasingly vocal about their demands, pressuring employers to adapt.
The fresh funding will fuel Gympass’s global expansion and product innovation efforts, enabling platform enhancements that enhance the user experience for both employers and employees. By offering an accessible, affordable, and flexible platform, Gympass empowers employees to embark on personalized wellness journeys with confidence, motivation, and a sense of community.
In addition to the Series F funding led by EQT Growth, General Atlantic and Moore Strategic Ventures are reinforcing their commitments to Gympass by acquiring existing shares from earlier investors, as well as from current and former employees.
