Dive Brief:

• Therabody, maker of massage gun Theragun, appointed Atkins Nutritionals veteran Jim Allwein as its CFO, the company announced in a Tuesday press release.
• Allwein will take the finance reins as the company looks to branch out from recovery into the broader health and wellness space, the company said Tuesday.
• The new CFO appointment comes several months after the Los Angeles, California-based company appointed fellow Atkins alum Monty Sharma as its president and CEO in January, with its co-founder and then-CEO Benjamin Nazarian taking on the role of executive chairman.

Dive Insight:

Allwein most recently served as CFO for Blueroot Health, and also served as the chief finance leader for Atkins — now Simply Good Foods — for a decade beginning in 2005, according to his LinkedIn profile. Allwein has held other key financial and executive positions for Danone North American Companies and Hitachi America. He also served as a functional advisor for North Castle Partners between 2017 and 2020.

As CFO of Atkins, Allwein was instrumental in the operational and financial turnaround of the company, culminating in its 2010 sale to Roark Capital, according to his LinkedIn. His financial leadership overlapped with that of Sharma’s, who served as Atkins Nutritionals’ CEO and President for five years between 2007 and 2012, according to his LinkedIn profile.  

The company, which sells low-carb snacks and foods associated with its Atkins diet plan, went public in 2017 via a merger with special purpose acquisition company Conyers Park Acquisition Corp. The combined entity, The Simply Good Foods Company, had an anticipated enterprise value of approximately $856 million, according to a press release on the merger.

Therabody’s commitment to branching out into wider wellness comes after the close of a growth equity round of $165 million last September, led by private equity firm North Castle Partners. As part of its raise, the company launched several new products, including new generations of its cult favorite Theragun massage gun as well as its Smart Goggles product.

The wellness industry was among those that found their financial fortunes dipping in the last year after an early pandemic spike in interest, with companies such as Peloton downsizing their workforce, closing stores and announcing changes to its executive leadership team in response to slumping revenue.

Therabody has also faced troubles with competing wellness brands, filing numerous lawsuits aimed at protecting the intellectual property rights of its star Theragun product. Last year, the massage gun maker filed suit against the TJX Companies — owners of the Marshalls, Homegoods, and T.J. Maxx brands, among others — as well as Amazon resellers for patent and trademark infringement upon its Theragun product. The suits were filed in addition to the ten already active lawsuits against other manufacturers and retails for similar claims, the company said.

However, while challenges stemming from copyright issues and economic headwinds in the industry persist, Therabody remains committed to its plans for future growth. At the time of its September equity round, then-CEO Nazarian told the New York Times that the pandemic had put a greater emphasis on taking care of one’s body, while companies were pulling back due to economic uncertainty. Therabody’s 2021 revenue reached $396 million, rising from $224 million the prior year, according to the Times.