Peloton is reportedly in talks with investors about a potential $800 million secured bond sale, according to an article from Bloomberg.
The deal would be Peloton’s first traditional bond offering.
Bloomberg reports that Goldman Sachs arranged recent meetings where Peloton gauged investor interest in a secured bond that could yield around 8%. The report cites people familiar with the discussions who were not authorized to speak publicly.
No final decision has been made, and Bloomberg notes that the sale may not happen.
Peloton has raised debt through other methods before, including term loans and convertible senior notes. Most recently, Peloton completed a major refinancing in 2024 that included a $1 billion term loan, $350 million of convertible senior notes, and a $100 million revolving credit facility.
That refinancing pushed out debt that otherwise would have come due much sooner.
Peloton still has $980 million outstanding on that term loan as of June 30, 2026. The loan matures May 30, 2029. Peloton reported that the loan had an effective interest rate of 10.2% as of June 30.
If Peloton used a new bond to refinance part of the existing term loan, it could lower what the company pays to borrow, though the two rates are not directly comparable. The roughly 8% figure reported by Bloomberg is an indicated bond yield, while the 10.2% figure is the effective interest rate Peloton reports for its existing term loan.
However, Bloomberg did not report what Peloton would use the proceeds for, so it is not yet clear whether refinancing the term loan would actually be part of the plan for a bond offering.
Peloton also has $350 million of 5.5% convertible senior notes that mature in December 2029.
The company is in a stronger financial position than it was when it last refinanced its debt. Peloton reported its first full fiscal year of GAAP profitability in fiscal 2026 and generated $378 million of free cash flow.
As of June 30, Peloton had $1.299 billion of total debt and $1.207 billion of cash, leaving net debt of approximately $93 million.
That was down about 80% from a year earlier.
Peloton has not announced an offering or filed terms for one, so the $800 million size and roughly 8% yield are what the company has reportedly been testing with investors, rather than a finalized deal.
This report comes the same week Peloton announced three new treadmills and a number of new running features, the company’s second consecutive fall hardware launch. Peloton has also said it plans to launch products in entirely new categories in fall 2027.
You can read the original report from Bloomberg here.
We will continue to share updates as they become available.
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