Interactive Strength Slides 45% After 1-for-10 Reverse Split; Ergatta Adds $30M Revenue
Interactive Strength announced a 1-for-10 reverse stock split to meet Nasdaq listing requirements, triggering a 45% share plunge. The company’s recent Ergatta acquisition, projected to add over $30 million in 2026 pro forma revenue, is expected to underpin revenue growth and profitability.
1. Reverse Split Triggers Major Sell-Off
Interactive Strength executed a 1-for-10 reverse stock split to regain compliance with Nasdaq listing rules, causing shares to plunge roughly 45% to $0.24 in regular trading. The downturn reflects volatility from the adjustment and investor reaction to reduced share count.
2. CEO Cites Sportstech’s Statements
CEO Trent Ward criticized misleading statements from competitor Sportstech for exacerbating the stock’s underperformance and acknowledged that unfavorable commentary contributed to downward pressure on share price.
3. Ergatta Deal Bolsters Revenue Trajectory
The recent acquisition of Ergatta, known for its subscription-driven model, is projected to add over $30 million in pro forma revenue for 2026 and expand the company’s market presence alongside existing Wattbike offerings.
4. Compliance and Profitability Roadmap
The reverse split secures Nasdaq compliance while strategic mergers aim to accelerate the path to profitability, positioning the company for stabilized financials and renewed investor confidence.