Tonal, the developer of a smart weight-based home exercise system, raised USD 250 million in a Series E funding round at a valuation of USD 1.6 billion, achieving unicorn status. Participants in the round include Dragoneer, Cobalt Capital, L Catterton, Sapphire Ventures, and several athlete investors. This brings the company’s total funds raised to USD 450 million.

The new funds will be used for marketing purposes, expanding its fitness classes, and further scaling the business to cater to the rising demand. The company also hinted at a potential IPO, but a specific timeline and additional details were not disclosed. 

Tonal witnessed more than 8x year-over-year (YoY) increase in sales in 2020, resulting in delivery lags of 10–12 weeks. The company is reportedly addressing the issue by ramping up production, recruiting new employees, and air-shipping devices. Earlier this month, the startup also announced a new partnership with Nordstrom, enhancing its physical footprint with mini outlets inside 40 Nordstrom locations, bringing its total store count to around 55 stores, up from 15.

Tonal’s smart home exercise system comprises a large screen with two mechanical arms on the sides that allow users to perform exercises such as deadlifts, bench presses, and squats. Besides strength training, Tonal can be used to access other classes like yoga, cardio, and HIIT, either live or on-demand.