After acquiring Mirror for $500 million in 2020, Lululemon Athletica, Inc. may now be looking into selling the company, according to a report from Bloomberg, which in turn cites sources “familiar with the matter.” It has not been confirmed, however, whether this is indeed the case. Lululemon bought Mirror in 2020 as large-scale gym closures were occurring due to the pandemic, and interest in home fitness options that were as all-encompassing as possible was growing rapidly. In fact, Lululemon was also posting strong growth in sales at the time – just like other home and connected fitness companies. Now, however, it appears that Mirror sales had underperformed. In its fourth-quarter earnings call, Lululemon indicated it would shift its focus from Mirror hardware to the Lululemon Studio app, with a price cut from the current $39 per month. In Q4, Lululemon also took a $407.9 million impairment charge for the Mirror goodwill and also took an eight-figure obsolescence provision on Mirror inventory. What the future holds for Mirror therefore remains to be seen. Mirror founder Brynn Putnam, who joined Lululemon as CEO of the brand after the acquisition, resigned in 2021.

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