The specialist in high-end exercise bikes and treadmills Peloton saw its share suspended on the New York Stock Exchange on Thursday, after a fall linked to information from the American channel CNBC on the interruption of its production.
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According to internal documents cited by the chain, the group would have stopped the manufacture of connected bicycles and mats due to a drop in demand, which caused the title to plummet.
The quotation was interrupted four times on the NASDAQ, the electronic New York Stock Exchange, the title losing more than 20% to 25.47 dollars. Upon resumption of trading, the action reduced its losses to -15%.
Peloton plans to suspend production of “Bike,” its standard connected bikes, for two months (February and March), and “Tread,” its connected treadmill, for six weeks, according to CNBC.
The manufacture of “Bike +”, more sophisticated and more expensive than the other model, had already been interrupted since December, and should not resume before June.
The business news channel reported that the company had spoken of a “significant reduction” in demand around the world due to prices and increased competition.
Peloton did not react immediately to a request from AFP.
The group is having difficulty managing the exit from the pandemic, during which it experienced considerable growth.