Fitbug renamed Kin Wellness as company scraps consumer business

Fitbug Holdings, the online health and wellbeing services provider, is changing its trading name to Kin Wellness, following a decision to reposition the business.

The company is moving from the consumer retail space, mainly focused on sales of activity Trackers, to a corporate digital wellness solutions provider. Its Orb tracking device will still be available to corporate clients, as part of its digital wellness programme.

The change of trading name takes effect immediately.

Fitbug Holdings Plc will also change its name to Kin Group Plc, subject to shareholder approval at the next annual general meeting.

Anna Gudmundson, chief executive, said: "Changing the company name signifies a further major step in our ambitious transformation strategy, where we've effectively shut down the consumer business to focus on the growing corporate wellness market, which was estimated at $43.3billion [£34.8bn, €40.6bn] in 2015 by the Global Wellness Institute, according to whom the global workplace wellness industry grew at 6.4 per cent from 2013 - 2015 as organisations place more importance on keeping their Employees motivated, well and healthy."

In the most recent financials, released on Monday (3 April), Fitbug announced a drop in turnover in the year to 31 December 2016 to £1.1m (US$1.4m, €1.3m), from £1.3m (US$1.6m, €1.5m) in 2015.

However, it reduced its losses by 42 per cent last year to £3.5m (US$4.4m, €4.1m), from £6.3m (US$7.8m, €7.3m) in 2015.

Commenting on Monday's results, Gudmundson said: "In 2016 we executed the most significant parts of our strategy to turn the business around and to reposition Fitbug as a B2B digital services provider in the corporate wellness industry. In practice, this involved major cost optimisation, as well as a series of restructuring initiatives designed to break from Fitbug's past and allow the business to move forward with speed and focus."