Peloton Investor Blackwells Said to Seek Sale, CEO’s Ouster (2)

Peloton Interactive Inc. has received a letter from an activist investor demanding that it fire its chief executive officer and pursue a sale.

Blackwells Capital LLC, which has a stake of less than 5%, has called for the departure of CEO and co-founder John Foley, and wants Peloton to explore a sale of the business. Peloton could be an attractive acquisition target for larger technology or fitness firms, according to an investor letter seen by Bloomberg.

The shares rose about 2% in New York on Monday morning.

Peloton’s shares have tumbled more than 80% from their all-time high ...