The Vancouver-based athleisure retailer is working with an adviser to solicit interest in Mirror, sources told Bloomberg. Lululemon bought the interactive workout device maker for US$500 million in June 2020 and wrote it down by US$442.7 million in its most recent earnings report in March. The company did not immediately respond to The Logic’s request for comment. (Bloomberg)

Talking point: Since the acquisition, Mirror has failed to reach the retailer’s sales expectations as the pandemic-driven at-home workout craze waned and competitors flooded the market. Founder and then-CEO Brynn Putnam stepped down in September 2021 but remained on as an adviser, and Lululemon hired Michael Aragon, a former Twitch executive, to lead Mirror. A few months later, he announced a new direction: a two-tiered loyalty program offering workout streaming that doesn’t require the Mirror. The company believes removing the hardware restriction creates a lower cost of entry that will allow it to attract more customers to the service, said CEO Calvin McDonald in a recent call with analysts.