Ranna, London-based coaching app, which helps runners to create personal training plans, has been snatched into a deal by American fitness giant Strawa in the hope of giving a multimilian-pound payday to its co-founders.
Although the terms of the deal are unknown, it is understood that early investors have been designed for a windfall – their original investment is reported to get a return of up to 30 times.
Ranna was founded three years ago by the university's friends Ben Parker and Dome Maskail. The two began as an individual coaching system, developed in the 150-firm team with support from major investors, including Jam Jar Investments, which include Venture Capital Fund launched by founders of innocent drinks. The app launched to the public in March 2022 has raised £ 8 million till date.
The acquisition marks the first UK purchase of Strawa. The company, which has more than 150 million users in 185 countries, was priced at $ 2020, which was $ 1.5 billion after the 2020 funding round led by Sex Capital. With the fastest growing activity on Strawa-a billion-year-run a billion run was logged on to the platform-Runna's technique has been seen as a powerful supplement to the expansion ecosystem of Strawa.
Strava's CEO Michael Martin, who took over the reins in January 2024, has a user-centered approach to “coaching for runners, it is about his goals-and they want personal guidance. Strava is historically not strong in that place.
Runna's original story is one of biological development and smart restraint. Maskel initially paid for Parker, a professional running coach, £ 80 per month for pace targets and regular check-in schemes. Influenced by the results, Maskel began to develop a software version – only to feel that he lacks expertise in athletics. He invited Parker to join the project and by mid-2021, the pair had quit their jobs and won £ 100,000 in Angel Funding from Ultra-Athlete and £ 100,000 in the east in Joshua Patterson, a member of Chelsea Cast. A subsequent crowdfunding round raised £ 484,000.
Since its launch, Ranna has allegedly seen “stable and consistent” growth, boasting customers paying more than 3,000 by 2023. The cost of a monthly membership is £ 15.99, while the annual plans cost £ 99.99.
Seriously, Runna is beneficial from 2023 – an discrepancy in the technical location. Despite increasing the venture capital, the company says it has expanded extensively through subscriber revenue.
“We picked up our jam jar round, but we have touched it hardly,” Maskel said. “We have many offers to raise big rounds, but we have turned them down. Big funding pushes you to oversee and grow incompetently. We only like to rent only when there is a real need.”
That philosophy has translated into solid financial. The most recent accounts of Ranna filed in January 2024 showed a cash reserves of £ 8.2 million.
After the acquisition, Runna will maintain the base of his London and is planning to continue international expansion. It is already a small team in Boston and was eyeing a West Coast Office before the Strava deal. Strew, headquartered in San Francisco, reported $ 275 million in revenue in 2023.
Martin confirmed that 2024 had already exceeded the expectations: “It has been the most successful year in Strava. We are seeing the growth of year-to-year in new users-the fastest since the palace.
The deal indicates how digital fitness platforms are developing – from passive tracking to active coaching. For the founders of Ranna, this is a verification of his vision and a major milestone in his journey from side project to global acquisition.
Jamie young
Jamie is a senior reporter in Business Matters, who is bringing more than a decade experience in UK SME business reporting. Jamie holds a degree in business administration and regularly participates in industry conferences and workshops. When not reporting the latest commercial developments, Jamie has emotional about advising journalists and entrepreneurs to motivate the next generation business leaders.