Fitness Billionaire Completes $550 Million Reset of Technogym Riches

Nerio Alessandri's Industry Has Had More Ups And Downs Than Most People Expected in Recent Years. However, One Thing Has Remained Consistent for Technogym SpA's co-founder: He Has Been Selling Shares.

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Now, after reducing his stake to the minimum for retaining a tight grip over the company that makes $18,550 treadmills and $3,185 bikes, the billionaire is halting further sales. Alessandri said in a recent interview that they have said "no more" and that they have the control of Technogym. He also said that they have diversification at the same time.

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Alessandri, 61, has sold off about €500 million ($550 million) of Technogym stock through family holding companies over the past six years to rebalance his fortune. While the wellness sector is still his major focus, diversifying into multiple business lines is key for members of the world’s rich to preserve their wealth — as the passing fads of the pandemic confirmed.

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Alessandri's fortune is roughly $1.3 billion, with about a third of that tied up in Technogym stock. According to the Bloomberg Billionaires Index, he has been regularly cutting his stake in the company, and now owns less than 60% of it.

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Technogym, based in Cesena, Italy, is still his biggest individual asset. However, he also has venture investments in areas like finance, food, and technology. Additionally, he has allocations to real estate and other listed firms through his family office, Wellness Holding. Alessandri, who is also Technogym's chairman and chief executive officer, said that his diversification push is "the legacy in terms of wealth for my family." He added that his family now has investments in a variety of different asset classes.

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The Alessandri family has been a major driving force behind Technogym's stock sales in recent years. Thanks to their support, the company has seen a significant boost in its share price.

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Wellness Holding made investments in at least three businesses last year, including insurance startup Wallife and anti-ageing firm The Longevity Suite. The Longevity Suite sold a 30% stake last month to asset manager Azimut Libera Impresa.

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The family office has a number of staff based in Italy, including Alessandri's son Edoardo, who has helped with sourcing the firm's investments.
His daughter Erica is scheduled to accompany him this month to the World Economic Forum in Davos, Switzerland, where the senior Alessandri is expected to discuss wellness topics, including how Technogym is adapting training programs with artificial intelligence.

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Although both of his children have experience working for Technogym, Alessandri said he's not pressuring them to take the reins.
He said that his children are still young, so it's been important for him to create a managerial culture within the company so it can continue without him.
Alessandri and his brother co-founded Technogym four decades ago. He built his first piece of equipment - a hack-squat machine - in his garage.

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He grew the business by connecting gym equipment with technology, and the company was one of the first to invent a system to monitor heart rates during workouts in 1990. In 2008, he sold a 40% stake to UK buyout firm Candover Investments and began to diversify his wealth about a decade ago. The company’s shares have gained more than 140% since they started trading in Milan in 2016, even with a 15% drop last year.

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Alessandri and his family control 50.5% of Technogym's voting rights following their latest share sale in 2021. Even as his fortune continues to expand outside the business, Alessandri remains focused on the major source of his wealth. He said that his passion, time, and commitment are 100% Technogym.