Back in July, Fitbit cut its full-year guidance and admitted that its basic-utility/low-pricing device strategy is not working. The timing of the reported talks between Fitbit and Qatalyst is not surprising. Does Wall Street think that there is a real chance for Fitbit to be acquired? Or is this just wishful thinking? Context The stock finished Friday’s session with a 12% gain and continues to trade around the $4 mark at the time of writing.

In reaction, the market sent Fitbit shares up 24% in daily trading. Qatalyst has been seeking to persuade Fitbit to explore its options for several weeks, arguing it could attract acquisition interest from Google owner Alphabet Inc as well as private equity firms, one of the sources added.”

“Wearable device maker Fitbit Inc has been in talks with an investment bank about the possibility of exploring a sale amid challenges in successfully pivoting from fitness trackers to smartwatches, people familiar with the matter said on Friday.įitbit has not yet decided to pursue a sale and there is no certainty it will do so, the sources said. Here’s Greg Roumeliotis writing for Reuters: Last Friday, a report emerged that Fitbit (NYSE: NYSE: FIT) is considering putting itself up for sale.

Fit bits sale